Kim Kardashian’s Skims has been valued at US$5bn after a fresh round of investment – and ahead of the company gearing up to launch Skims Beauty next year.
The six-year-old shapewear and lifestyle brand has raised $225m from Goldman Sachs Alternatives, the alternative investment platform of asset manager Goldman Sachs Asset Management.
Affiliated funds of merchant bank and investment platform BDT & MSD Partners also participated in the funding round.
The fresh injection of cash will help Skims fuel physical retail and international expansion, as well as product innovation and category expansion.
This will solidify “the company’s strong position within intimates and shapewear, while further scaling its presence within apparel and activewear”, the company said in a statement.
Skims recently launched a new brand with Nike, NikeSkims.
Kardashian has also lifted the lid on her plans for the launch of Skims Beauty, which is expected to debut next year.
Commenting on the deal, Kardashian said: “Today’s announcement validates the hard work of our incredible team and partners who have helped us reach this exciting new chapter, becoming a global omnichannel retail brand.
“We can not wait to take Skims to the next level as we continue to innovate and set the standard for our industry.”
Kardashian co-founded Skims in 2019 with Jens Grede, who previously created denim brand Frame and is CEO of Skims.
The reality television star, actor and entrepreneur serves as Chief Creative Officer of Skims.
Grede said that the“milestone’ funding round “reflects continued confidence in our long-term vision and, coupled with disciplined execution, positions Skims to unlock its next phase of growth”.
What do we know about Skims Beauty?
Skims Beauty is not Kardashian’s first attempt at cracking the cosmetics category.
The mogul launched KKW Beauty in 2017 with make-up and fragrance.
Beauty giant Coty acquired a 20% stake in the business for $200m in 2021, and the brand relaunched a year later as SKKN by Kim.
Skims bought Coty’s share in the business in March, along with Kardashian’s 80% stake, bringing the star’s clothing, cosmetics, skin care and fragrance businesses under one umbrella for the first time.
SKKN by Kim was shut down over the summer in anticipation of a relaunch under Skims.
Skims has tapped Diarrha N'Diaye-Mbaye, the founder of make-up brand Ami Colé, to lead its expansion into beauty.
However, Skims has started dipping its toes in the space this year already – with mixed reactions.
The brand unveiled Seamless Sculpt Face Wrap this year, designed to create a “snatched” look around the jawline.
The bandage-style product garnered criticism, including from many saying it made wearers look like the character Hannibal from the horror-crime film Silence of the Lambs.
This prompted actor Anthony Hopkins, who played the character, to reprise his iconic performance wearing the wrap in a video on Instagram that went viral.
The wrap sold out within hours of its debut.
A brand collaboration in October also saw a range of hairbrushes in Skims signature hues with hair brush brand Tangle Teezer.
Talking to Alex Cooper on 15 October on the Call Her Daddy podcast, Kardashian said: “The one thing I am super excited about is Skims Beauty.”
Kardashian confirmed Skims Beauty’s collection will comprise “fragrance and make-up and all the things”, as well as nod to some old favourites from her original KKW Beauty line.
“The lip liners are coming,” she said.
“And the KKW Beauty, the original.
“I feel like I tried to do something. I love when I know what works and then try something and I know it does not work, and that is okay.
“And so we are going to bring back what works and we are going to make it so major and so great.”