Making second-hand fashion a first choice, SoftBank and Tiger Global-backed French platform buys US rival

French second-hand luxury marketplace Vestiaire Collective has now acquired rival Tradesy to boost expansion in the U.S.
Making second-hand fashion a first choice, SoftBank and Tiger Global-backed French platform buys US rival

As consumers increasingly reuse fashion and luxury items, there has been a spurt in the second-hand market. Adding on to the race of startups getting into the second-hand goods marketplace, French second-hand luxury marketplace Vestiaire Collective has now acquired rival Tradesy. The acquisition will accelerate the French group’s expansion in the U.S., which has now become its biggest market.

According to the French platform Vestiaire, the combined company will have 23 million users and trade $1 billion of merchandise a year. The worth of the deal has not been disclosed. Earlier last year, it raised $216 million funding led by French luxury giant Kering and Tiger Global in March and another $209 million funding from SoftBank and Al Gore’s Generation Investment Management in September.

Transforming the fashion industry towards a more sustainable future, both these platforms were founded in 2009 by women entrepreneurs. The announcement reflects their ambition to further accelerate the growth of the circular fashion economy by delivering better customer experience to buyers and sellers across the globe.

Post the deal, Maximilian Bittner, CEO of Vestiaire Collective, and Fanny Moizant, founder and president of Vestiaire Collective, will continue to serve in those roles for the combined company. Tracy DiNunzio, founder of Tradesy will run the combined U.S. operations.

Maximilian Bittner, CEO Vestiaire Collective said: “Today’s transaction is a key milestone for the luxury fashion resale industry. With this transaction, we confirm Vestiaire Collective’s ambition to be a truly global player, promoting circularity in Europe, the US and Asia-Pacific.”

Fanny Moizant, founder and president, Vestiaire Collective, added: “WE will work together to accelerate the change in the way people consume fashion. We are particularly enthusiastic about the scale we are reaching together and the associated benefits in the highly attractive U.S. market.”

Tracy DiNunzio, founder and CEO, Tradesy, said: “With today’s transaction, we are positioned to significantly improve the experience of the U.S. fashion customers.”

In recent years, Vestiaire Collective has grown at an accelerated pace in the U.S., which has become its largest market. Going forward, it will open a new authentication centre in the Los Angeles area (its fifth authentication centre globally, and second in the US).

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