Rent the Runway, Inc., a NYC-based clothing rental company for women, raised $125m in funding.
The round was co-led by Franklin Templeton Investments and Bain Capital Ventures, with participation from funds and accounts advised by T. Rowe Price Associates, Inc. and Hamilton Lane Advisors, on behalf of New York State Common Retirement Fund, and existing investors.
J.P. Morgan acted as the sole placement agent on the deal.
This funding round brought total equity raised to approximately $337m since inception and valued Rent the Runway at $1 billion.
The company intends to use the funds to scale its subscription business and proprietary reverse logistics technology.
Founded in 2009 by Jennifer Hyman, CEO, Rent the Runway enables women to rent clothing via a subscription platform. The company carries apparel, accessories and home decor from over 600 designer partners, has built in-house proprietary technology and a reverse logistics operation.
It has five retail stores, 11 million community members and employs nearly 1,800 people.