Rent The Runway Now Worth A Billion

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In its tenth year in existence, women’s fashion renter Rent The Runway has secured enough funding to push it into the billion dollar valuation club.

RTR is the 10th unicorn to hit this level in an already active unicorn startup year.

The company announced today it secured $125 million in its latest Series D funding round, Led by Franklin Templeton Investments and Bain Capital Ventures. The total equity in RTR to date is $337 million, with an additional $200 million credit it received in August last year.

RTR is the second startup founded by women to hit unicorn status this week, following direct-to-consumer beauty retailer Glossier. RTR was co- founded in 2009 by Jennifer Hyman with Jennifer Fleiss.

”So proud of this incredible milestone and so grateful to our amazing Rent The Runway team!! This is just the beginning…” tweeted Hyman in response to today’s developments.

RTR rents designer dresses for major events such as galas, weddings and parties. It has been offering subscription services for users to get unlimited clothing for a monthly fee. The new funding will help expand that service, pump up their inventory and establish their supply chain infrastructure.

Image credit: Pete Linforth/Pixabay