The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
Rent the Runway has confidentially filed paperwork with U.S. regulators for an initial public offering (IPO), as it looks to cash in on the booming market for rental clothes and second-hand apparel.
The online clothing rental firm said on Monday the number of shares on offer and the target price range for its IPO had not yet been determined.
Founded in 2009, New York-based Rent the Runway allows customers to rent clothes and shop second-hand merchandise from over 750 designer brands.
It raised funds last year at a valuation of $750 million, below its previous valuation of $1 billion, Bloomberg News reported in June.
Demand for second-hand clothes has jumped in recent months as customers become increasingly conscious about their carbon footprint, boosting revenues at subscription-based styling service Stitch Fix and online resale shop ThredUp .
Denim maker Levi Strauss has also entered the used clothing market, while Etsy last month announced the acquisition of Gen Z-focused fashion resale firm Depop for $1.63 billion.
Online eyewear seller Warby Parker and Forever 21 owner Authentic Brands Group have also filed for IPOs this year.
Further Reading: Rethinking the Fashion Rental Model for the Post-Pandemic Era
Rent the Runway chief executive Jennifer Hyman shares her strategy for making the fashion rental model work as retail, restaurants and workplaces slowly begin to re-open.
The companies agreed to cap credit-card swipe fees in one of the most significant antitrust settlements ever, following a legal fight that spanned almost two decades.
In an era of austerity on Wall Street, apparel businesses are more likely to be valued on their profits rather than sales, which usually means lower payouts for founders and investors. That is, if they can find a buyer in the first place.
The fast fashion giant occupies a shrinking middle ground between Shein and Zara. New CEO Daniel Ervér can lay out the path forward when the company reports quarterly results this week.
The performance coach and Allbirds’ co-founder discuss the transformative power of togetherness in fostering a culture of excellence.