When Rent the Runway raised a $60 million Series E round back in 2016, many speculated the company would eventually go public. Rumors are circulating yet again, as the company announced that it received a $20 million investment from Jack Ma and Joe Tsai of Alibaba and Blue Pool Capital, respectively.
Though representatives at Rent the Runway declined to provide many details on the investment or plans for the future, they did note that this is a defining moment in the company’s growth.
“Over time, we have been fortunate to build a great relationship with the Blue Pool team, and I am delighted to have such forward-thinking business leaders behind Rent the Runway as we embark on our biggest growth stage yet,” said CEO and Co-founder Jennifer Hyman.
This investment increases the company’s valuation to almost $800 million — making it a big name in the $1.7 trillion dollar fashion industry.
I am delighted to have such forward-thinking business leaders behind Rent the Runway as we embark on our biggest growth stage yet.”
Since 2009, Rent the Runway has transformed women’s wardrobes and given them access — albeit temporary — to discounted designer clothing. Customers can rent an item online or from one of its brick-and-mortar locations, or subscribe to the service and rent multiple pieces at a monthly rate.
Could the next move be an IPO, acquisition or expansion? We’ll have to wait and see.