Vinted, a European marketplace for used clothes and accessories, has raised 50 million euros in funding. Sprints Capital led the round with participation from return backers Insight Venture Partners and Burda Media.
Vinted, Europe’s largest consumer-to-consumer marketplace for pre-loved clothes and accessories, today closed a 50M Euro investment round at 225M Euro valuation. The round was led by Sprints Capital with additional participation from existing investors Insight Venture Partners and Burda Media. This follows an exceptional growth phase for the company whereby Vinted’s revenue grew 11-fold and its gross profit increased 16-fold since mid-2016, respectively.
“Our strong growth momentum combined with a healthy financial profile attracted the interest of several investment firms. We decided to not optimise for price and instead focus on selecting new board members who would best complement our current board of directors. I’m pleased to say we’ve found an excellent partner in Sprints Capital,” said Thomas Plantenga, Vinted’s CEO.
“Vinted has successfully created the most popular second-hand marketplace in the 500 billion Euro European fashion market. Consumers are increasingly interested in unique fashion with an environmentally friendly profile. Vinted sits right in the middle of these megatrends. We are thrilled to partner with Vinted’s outstanding management and shareholders to support the continued rapid growth and believe Vinted will be one of the key players in the European apparel and accessories market”, said Henrik Persson, Managing Partner at Sprints Capital.
The team at Sprints Capital has extensive experience in building big and successful classifieds’ marketplaces, such as Blocket in Sweden and Avito in Russia. The funding and expertise of the new investor will help fuel Vinted’s plans to become a global winner in its category.
Today, Vinted operates in 9 markets, with a particularly strong presence in France, where it has a market share of over 80% in adult and kids’ fashion resale. Vinted operates from offices in Vilnius, Berlin, Warsaw and Prague, housing a team of more than 200 people.
“Vinted has demonstrated a path to a clear leadership in France with levels of user engagement that are among the best we have seen”, said Henrik Persson.
Vinted reports that almost 5 million of its monthly active users spend around 8 hours on the marketplace and list more than 13 million items each month.
“No other second-hand fashion marketplace has such a deep user penetration as Vinted in its key markets. And still, within the last 2 years, new listings on our marketplace grew 4 times. Our team believes this is just the beginning and we see an enormous opportunity for growing the second-hand fashion trade,” said Mantas Mikuckas COO.
“Insight was an early investor in Vinted. Over the last two years under Thomas’s leadership, we have seen a remarkable increase in their growth,” said Deven Parekh, Managing Director at Insight Venture Partners. “Vinted is in the pole position to drive the transformation of the fashion industry and Insight is extremely excited to continue to invest beyond this category defining company.”
Fabrice Grinda, recently named the world’s most active and successful angel investor by Forbes, also participated in the round. “I love Thomas, the team and Vinted. They are dramatically growing the used clothes market with their innovative approach they are reinventing how marketplaces work.”