Skims said Wednesday it has raised $225 million in new funding, boosting the shapewear and apparel company’s valuation to $5 billion.
Founded in 2019 by Kim Kardashian and business partner Jens Grede, Skims plans to use the new funding to drive product innovation and expand into new categories, according to an announcement from Goldman Sachs.
“Today’s announcement validates the hard work of our incredible team and partners who have helped us reach this exciting new chapter, becoming a global omnichannel retail brand,” Kim Kardashian, co-founder and CEO of Skims, said in a statement. “We can’t wait to take SKIMS to the next level as we continue to innovate and set the standard for our industry.”
The funding round was led by Goldman Sachs Alternatives, with participation from funds affiliated with BDT & MSD Partners, as noted in the announcement.
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Skims said it is on track to exceed $1 billion in net sales this year and is “laying the groundwork to be a predominantly physical business over the next few years,” as noted in the announcement.
“SKIMS stands as a solutions-driven apparel innovator, pioneering new categories and redefining everyday wear,” Beat Cabiallavetta, global head of hybrid capital at Goldman Sachs Alternatives, said in a statement. “We look forward to partnering with management to pursue significant opportunities and deliver disruptive, sustained growth.”
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The company currently operates 18 U.S. stores, including in New York, Los Angeles, Houston, and Las Vegas, as well as two franchise locations in Mexico.
The brand, known for its inclusive sizing and minimalist aesthetic, has built a strong following among younger shoppers, bolstered by Kardashian’s social media influence, according to Reuters.
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Earlier this year, Skims announced it was partnering with Nike to launch a new female-focused brand called NikeSKIMS.
“SKIMS’s recent launch of the NikeSKIMS brand, in partnership with Nike Inc., exemplifies the company’s commitment to pushing boundaries and delivering industry-leading innovation,” as noted in the announcement.
Skims did not immediately respond to FOX Business’ request for comment.
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