The round was led by Tiger Global Management and the company is now valued at $2.8 billion. Other participants included Altimeter Capital, Sands Capital and Whale Rock Capital Management.
StockX now has $490 million in total funds raised, Reuters writes, and the company plans to use the money to expand its product category as well as getting into new markets.
StockX typically works in the resale of products like shoes and apparels on its live marketplace. The company was founded in 2016 and has capitalized on the trend of companies like Nike and Adidas, Reuters writes, in which they release limited edition high-end products and then sell them later as collectors’ items.
In July, PYMNTS wrote that StockX’s success was a pattern alongside fellow resale companies like thredUP and Poshmark, with a report by StockX saying that the company’s success had been bolstered by the changes due to the pandemic that realigned how customers spent their money. According to the report, the company saw 18 of its top 20 days during the second quarter, and the company overall had reached $2.5 billion in gross merchandise volume.
The report found that the demographic was shifting, too, with the number of StockX users 45 years of age or older rising 30 percent, contributing to the company’s success alongside younger Gen Z customers and “sneakerheads” who make a hobby of collecting rare sneakers.
Women’s sneakers outpaced the market by more than 70 percent since 2019, and smaller brands such as New Balance and AntiSocialSocialClub have surged in growth by more than 100 percent, the report found.
The resale market, according to CNBC, has faced some apprehension earlier in the year as people worried it could lead to more viral transmissions. But leaders in the industry have bucked against that fear, saying there was no data that the coronavirus could travel via apparel.