Kim Kardashian's SKIMS Rises To $4 Billion In Value With Latest Funding Round

Kim Kardashian's Skims is a four-time unicorn!

The apparel company, which the reality star co-founded alongside Emma Grede and Jens Grede, has raised nearly $300 million in a new funding round almost four years after its creation. With this, the brand has a value of $4 billion, which is a leap from the $3.2 billion valuation investors gave it last year. 

Initially known for offering shapewear to enable customers to fit into body-hugging clothes, Skims has successfully diversified the clothing line, expanding into diverse categories, including swimwear and loungewear.

As part of its forward-thinking strategy, Skims is now placing its bets on physical retail by gearing up to open flagship stores in Los Angeles and New York City next year. This strategic move will surely take Skims to even greater heights as they continue shaking up the fashion landscape.

Speaking about the company's growth and achievements, Kardashian, in a recent interview, expressed her pride, stating, "It has grown quickly, and we're so proud of that. We've had a really good flow of product launches."

Adding to the business mogul's thoughts, Grede — Skims's chief executive — disclosed that the company had reached a remarkable milestone as it now operates with profitability. As it turns out, the company will make an impressive $750 million in sales, a substantial increase from the $500 million achieved last year.

The brand's success is further confirmed by the number of people joining wait lists for their most sought-after items. In the past year alone, 11 million individuals have eagerly signed up to purchase these coveted products, often leading to swift sellouts.

Given Skims's impressive growth and widespread popularity, investors were naturally drawn to the company when it sought to raise funds in recent months. The latest funding round was led by asset manager Wellington Management, with participation from existing backers D1 Capital Partners and Imaginary Ventures and notable firms like Greenoaks Capital Partners.

"Skims has maintained unprecedented momentum since the brand's inception. We're thrilled to partner with the brand to support it through this pivotal growth stage," Michael Carmen, a co-head of private investments at Wellington Management, disclosed in a statement.

After the triumphant fundraising round in 2021 that propelled Skims to unprecedented heights, Kardashian attained the esteemed title of a billionaire. As the co-founder and driving force behind the brand, she retains her position as the company's largest shareholder, maintaining a majority stake alongside Grede.

The "Keeping Up with the Kardashians" alum's tremendous success has been a standout achievement in her business empire, which now includes a diverse portfolio encompassing fragrances, skincare, fragrances, and a private equity firm, New York Times has reported.

According to an April report by The Blast, the mother-of-four made it to this year's Forbes World’s Billionaires List again, ranking at #2259 with a $1.2 billion net worth. The accolade, which comes thanks to the continued success of Skims, has placed her ahead of several superstars who have been in the game longer than she.

One such notable person that she now outranks is Tyler Perry, who initially joined the billionaire's list in 2021. Interestingly, he made a bold move by ending his iconic "Madea" franchise, which brought in a whopping $660 million after taxes. The "Diary of A Mad Black Woman" star owns 100% of his work and even boasts ownership of a film studio launched in 2019.

In addition to his filmmaking success, the award-winning playwright produced content for Oprah Winfrey's OWN network for roughly seven years, which increased his already impressive financial portfolio. He grew his net worth even more when he acquired the popular BET network, making it Black-owned again earlier this year.

Similarly, Kardashian is richer than Bronny, who made his debut on the list this year at #2540, making him the first basketball player still active in the NBA to make a list. Most of his income came from endorsement deals, as he makes upward of $900 million in endorsements from Nike, PepsiCo, and Walmart.

Another established entrepreneur Kardashian outranks is Spanx's founder, Sara Blakely, who joined the billionaire's list in 2020. The 52-year-old businesswoman, who ranks at #2405, has continued to climb up the list without dipping in sales. A third upcoming overtaker is David Tran, thanks to his family's hot sauce brand, Sriracha, worth $1 billion.