MeUndies, a US-based underwear retailer backed by the corporate venturing arm of commercial real estate company Simon Property Group, has secured a $40m investment from growth equity firm Provenance.
Founded in 2011, MeUndies sells a range of clothing products for both men and women including underwear, sleepwear and loungewear. It also operates a monthly membership subscription model which provides offers like discounted pricing and flexible delivery options.
A statement from Provenance said the new investment will help MeUndies develop its production and distribution activities as well as expand into new international markets and physical locations.
However, founder and CEO Jonathan Shokrian told Forbes the cash has been raised as secondary capital and will be used to pay back some of the company’s earliest backers.
Simon Ventures is an existing investor in the company, as are Tylt Ventures, M13, Walden Venture Capital and Nelstone Ventures. It was founded by Shokrian with $400,000 of startup funding from angel investors including friends and family.
MeUndies pulled in $5.7m of funding from 32 investors in 2011, according to a regulatory filing, and Forbes reported that its overall funding stood at about $10m prior to the Provenance deal.
Shokrian said in a statement announcing the funding: “Over the past nine years, we have worked hard to establish our incredibly loyal community of customers, who love our focus on inclusivity, our high-quality products, our approachable price point and our frequent and unique product drops.
“We have a well-established foundation and this investment and our relationship with Provenance will enable us to expand our MeUndies brand community into new markets and new channels.”
Image courtesy of MeUndies.