Skims Raises $225 Million in Funding, Valued at $5 Billion

Kim Kardashian’s Skims brand has secured $225 million in new funding, with Goldman Sachs Alternatives leading the investment round. This funding has boosted the valuation of the shapewear and apparel company to $5 billion, up from $4 billion following its 2023 funding round.

Skims is on track to reach $1 billion in annual net sales, just six years after its launch in 2019. This latest funding round is one of the largest private investments for a U.S. consumer brand this year, with BDT & MSD Partners’ affiliated funds also participating in the financing.

The influx of capital will be utilized to expedite the company’s brick-and-mortar and international expansion efforts, as well as drive product innovation and category diversification. Skims currently operates 18 stores across the U.S., with plans to open additional locations overseas in 2026.

In a strategic shift, Skims is transitioning towards becoming a “predominantly physical business” in the near future, moving away from its digital-first direct-to-consumer roots.

CEO and co-founder Jens Grede expressed his confidence in the company’s long-term vision, stating, “This milestone reflects continued confidence in our long-term vision and positions Skims to unlock its next phase of growth.”

The recent collaboration with Nike, called NikeSkims, which quickly sold out upon launch earlier this year, demonstrates Skims’ aspirations to expand beyond shapewear into activewear, apparel, and performance categories. This move positions the brand to compete in the mainstream athleticwear market alongside industry giants like Lululemon and Nike.

Despite considering an initial public offering (IPO) since 2024, the new funding injection may delay Skims’ IPO plans. With the consumer IPO market experiencing a slowdown, securing additional private funding allows Skims to scale without the immediate pressure of going public.

Goldman Sachs Alternatives recognized Skims as an innovative apparel brand that is reshaping the industry. Beat Cabiallavetta, global head of hybrid capital at Goldman Sachs Alternatives, expressed excitement about the partnership and the potential for significant growth.

Skims has garnered a loyal following for its inclusive sizing, sleek design, and high-profile campaigns featuring global athletes and celebrities. With Kardashian at the helm as chief creative officer, she sees the new funding as an opportunity to elevate Skims to new heights.

“We are thrilled to embark on this exciting new chapter for Skims, as we continue to push boundaries and set new standards in the industry,” Kardashian remarked.