Kim Kardashian’s Skims has reached a valuation of US$5 billion (A$7.61 billion) after raising $225 million in new capital.
The latest fundraising has made Skims larger than both of its largest competitors, Victoria’s Secret and Under Armour, combined, which are valued at US$2.86 billion and $1.98 billion, respectively.
It also comes as the company, which was founded in 2019, said it expects to exceed $1 billion in net sales.
“This milestone reflects continued confidence in our long-term vision and coupled with disciplined execution, positions Skims to unlock its next phase of growth,” co-founder and CEO Jens Grede said in a statement.
Skims said it plans to use the new capital to accelerate brick and mortar and international expansion alongside product innovation and category diversification.
Currently, the company has 18 stores across the U.S. with plans to expand internationally in 2026.
The latest fundraising round was led by investment giant Goldman Sachs Alternatives with participation from BDT & MSD.
This follows Coty taking a 20% stake in Skims earlier this year, bringing it under the same umbrella as her beauty brand SKKN by Kim.
Skims also partnered with Nike to launch women’s activewear in September this year.
This follows a range of other celebrity brands garnering venture capital investment, including Elf Beauty buying Hailey Bieber’s Rhode for US$1 billion, as well as Rihanna’s Fenty Beauty and Khloé Kardashian’s Good America drawing in venture capital funding.
Grede has said that Skims deserves to be a public company, but also suggested to WWD that plans for a sale were not imminent.
According to Forbes, following the sale, Kim is now worth $1.9 billion, with the deal adding $200 million to her fortune.
