Luxury resale marketplace, The Luxury Closet raises funding from Huda Beauty Investments
The Luxury Closet (TLC), a luxury resale marketplace in the Middle East, and HB Investments (HBI), the private investment office of the founders of Huda Beauty, have announced a strategic partnership, seeking to harness the combined understanding of consumer behavior in fashion and beauty and to drive brand awareness and increase the adoption of resale.
HB Investments previous funding insights:
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• HB Investments participated in the ongoing capital raising of $11M, joining the board alongside existing shareholders Middle East Venture Partners (MEVP), Wamda Capital, Knuru Capital, and Precinct Partners.
• TLC focuses on the resale of perfect condition items from high-end brands such across the Middle East, which globally has the highest per capita spend on luxury.
• In the last 12 months, TLC has listed 80,000 items from 5,000 sellers worth $120M.
CEO and Founder of The Luxury Closet, Kunal Kapoor said, “Given the economic situation, people are increasingly valuing circular businesses as they are an affordable and sustainable way to refresh their wardrobes. HBI’s investment in The Luxury Closet is excellent news for our company. The partnership will help us bring the concept to a whole new audience.”
Read the full press release below.
The Luxury Closet (TLC), a luxury resale marketplace in the Middle East, and HB Investments (HBI), the private investment office of the founders of Huda Beauty, have announced a strategic partnership, seeking to harness the combined understanding of consumer behavior in fashion and beauty and to drive brand awareness and increase the adoption of resale.
TLC focuses on the resale of perfect condition items from high-end brands such as LV, Hermes, and Rolex from sellers across the Middle East, which globally has the highest per capita spend on luxury. In the last 12 months, TLC has listed 80,000 items from 5,000 sellers worth $120M. Founded in 2012, it has expanded rapidly and delivered robust growth. TLC direct-to-consumer sales in MENA represent 60% of revenues and overwhelmingly extends to 40% from Asia to The USA. They have raised $18M till date across 3 funding rounds
HB Investments participated in the ongoing capital raising of $11M and will become one of the principal shareholders of The Luxury Closet with, Mona Kattan, Co-Founder and Global President of Huda Beauty, joining the board alongside existing shareholders Middle East Venture Partners (MEVP), Wamda Capital, Knuru Capital, and Precinct Partners.
“Given the economic situation, people are increasingly valuing circular businesses as they are an affordable and sustainable way to refresh their wardrobes. This has expedited The Luxury Closet’s growth across market cycles. HBI’s investment in The Luxury Closet is excellent news for our company. The partnership will help us bring the concept to a whole new audience.” said CEO and Founder of The Luxury Closet, Kunal Kapoor.
"I have always been an advocate of circular fashion, and I am very excited about our endeavours with The Luxury Closet. At the beginning of our entrepreneurial journey, we did not have the means to purchase Fashion Luxury items and thus opted for vintage and second-hand shops. I'm very pleased to be part of the board alongside likeminded individuals, and a business that offers a unique service that fills a major gap in the market." said Mona Kattan.
Huda Kattan, Chairperson of HB Investments and Founder of Huda Beauty, said, “We are excited to partner with The Luxury Closet. Sustainability is one of our primary focuses and a core tenant for the HBI portfolio. In our continued effort to champion responsible and eco-friendly businesses, we couldn’t be more enthusiastic about our partnership with The Luxury Closet.”
Walid Mansour, Partner & Chief Investment Officer, MEVP added “The resolve and resilience shown by Kunal and the TLC team is the driving force behind MEVP’s continued commitment to making TLC the most trusted and loved online fashion marketplace in MENA. We are growing faster than ever and have established footprints from Hong Kong to California. With this fundraiser, we will achieve significant supply goals such as garnering over 100k SKUs which will make The Luxury Closet MENA’s largest luxury mall.”
Awad Capital Ltd., a DIFC-based and DFSA-regulated firm, is advising The Luxury Closet on its on-going capital raising.
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