STOCKHOLM – TrusTrace, a global SaaS company which hosts a platform for product traceability and compliance, has announced a US$24m funding round. The fresh capital injection was led by Circularity Capital, with participation from existing investors Industrifoden and Fairpoint Capital.
The investment offers further evidence of the growth of traceability in the fashion industry. Fashion and textiles is a key market for TrusTrace and one which regulators have been watching closely, monitoring issues such as supply chain integrity and oversight.
Shameek Ghosh, CEO and co-founder of TrusTrace, said the new investment will enable the company to accelerate its global expansion ambition. This will include strengthening its presence in key markets, deepening product innovation and expanding collaborations.
TrusTrace provides brands with verified data in real-time, as materials and finished goods move through the supply chain. It also integrates with retailer, manufacturer and supplier systems, as well as other third-parties.
Ghosh said: “A growing number of fashion and textile brands are adopting traceability to support their sustainability goals and ensure competitiveness in the face of mounting regulations and consumer pressure.
“The completion of this new growth investment is proof that traceability lies at the core of sustainable transformation. Backed by the new funding, TrusTrace will continue to be the fashion industry’s trusted partner for discovering and managing supply chain risk.”
TrusTrace has experienced five-fold growth in subscription revenue in the 27 months since the previous growth round by Fairpoint Capital and Industrifonden in 2021. This was preceded by seed funding from Backing Minds in 2019.
Notable TrusTrace customers include adidas, Brooks Running, Tapestry, Asics and many more of the world’s largest apparel, footwear and luxury brands. TrusTrace also plans to offer its services to regional and mid-size brands in 2024.
Ghosh added: “We are delighted to be partnering with Circularity Capital for the next phase of our growth. The combination of their specialist expertise in the circular economy and powerful international network makes them a strong value-added investor for us.”
Anders Brejner, investment director at Circularity Capital, said: “We see a growing number of global fashion brands looking to transition away from today’s linear ‘take-make-dispose’ model of production and consumption to one that is more sustainable and equitable. We believe this is only possible at scale with the right digital backbone to provide transparency and traceability across complex global supply chains.”
