STOCKHOLM – Swedish fast fashion business, H &M, has become the majority owner of rapidly growing re-commerce platform, Sellpy, after reinvesting in the company and bringing its overall stake to around 74 per cent. The company said the move will help support Sellpy’s international growth while also supporting H&M Group’s “strategic work to become fully circular.” Having first invested in Sellpy in 2015, H&M has since participated in all investment rounds through its investment arm CO:LAB. It’s total investment in the business has been in excess of US$15m.
“We keep investing in Sellpy because we strongly believe in the company and the founders. Sellpy has a unique circular business model, which perfectly aligns with H&M Group’s vision to become fully circular,” Nanna Andersen, head of CO:LAB, said.
Sellpy was founded in 2014 and has since then grown into a successful re-commerce platform with obvious potential for expanding its current offer into a complete platform for second-hand fashion given the remarkable growth of the apparel resale market. Sellpy is now preparing for an international expansion, starting with Germany, which H&M Group is supporting by this new investment.
“We are excited to continue to work even closer with H&M Group to empower everyone to live circular, regardless if they live in Sweden or elsewhere. With the support of H&M Group we can continue to innovate and drive awareness and adoption of re-commerce,” added Michael Annör, CEO of Sellpy.
H&M Group has through CO:LAB invested approximately SEK 50 million in Sellpy since 2015. Recently, H&M Group also bought secondaries for SEK 92 million and made a follow-on investment of SEK 40 million. In addition, H&M Group will invest an additional SEK 60 million (in two different installments) within a few years. When the full investment is carried through, H&M Group will have an approximate 74 per cent stake in Sellpy.
Sellpy is one of several long-term investments that CO:LAB has made within three different categories: innovative business models, sustainable fashion and enablers.