The Resell Platform Invites its Community to Become Shareholders as it Continues Journey Toward Profitability
Fashion reselling marketplace Vestiaire Collective has launched a crowdfunding initiative with the aim of raising a minimum of €1 million from individual investors. This strategic move is part of the company’s plan to achieve profitability by the end of the year and potentially go public in 2025.
CEO Maximilian Bittner revealed that the crowdfunding campaign, open to individuals over 18 in Europe and the UK, will be prominently featured on the company’s website and mobile app. “The goal is really to bring our most loyal customers into our shareholder base,” said Bittner. “We really see this as a marketing effort to connect with our community.”
Priced at €1.78 per share, the crowdfunding values Vestiaire at €1.1 billion, aligning with the valuation from a November funding round led by Eurazeo. Despite challenges in the luxury sector due to changing consumer behaviors, Vestiaire reported a 25% growth in sales on its platform in the past year. The company’s focus on desirable pre-owned fashion has led to the exclusion of over 60 “fast fashion” brands since November 2022.
Founded in Paris in 2009, Vestiaire Collective aims to achieve profitability by the close of 2024, with an IPO being considered the next natural step. Kering holds a 5% stake, and Softbank, an investor since 2021, has not disclosed its stake size. The crowdfunding initiative, facilitated by UK-based platform Crowdcube, began on Tuesday January 23, with the subscription phase set to begin on February 6.
