Article translated from Forbes US – Author: Madeline Berg
A $115 million fundraising round has been completed to support the development of Rihanna’s lingerie brand, Savage X Fenty. L Catterton, the US fund backed by LVMH owner Bernard Arnault, announced that it had closed the round on Wednesday 10 February.
The financing is a boon for the lingerie brand as Fenty, Rihanna’s high-end ready-to-wear brand, ceases operations. The high-fashion label, which is the result of a partnership with the luxury group LVMH, was launched less than two years ago. However, in recent months, the brand’s business has been sluggish. In the coming weeks, the Fenty website is expected to be deactivated.
The Savage X Fenty brand was launched in 2018 as a joint venture with TechStyle Fashion Group, a subscription-based online fashion platform whose portfolio also includes Kate Hudson’s brand, Fabletics. Rihanna’s lingerie line can count on the support of its first investors: Marcy Venture (Jay-Z) and Avenir. The latter both participated in the last round of financing with L Catterton and new investor Sunley House Capital. To date, the singer’s brand has raised $185 million in funding. The funds raised are expected to support the label’s business expansion and eventually create a sportswear line. Prior to the new funding, Forbes estimated Rihanna’s stake at around $80 million.
Rihanna’s net worth is $600 million
The Savage X Fenty brand is famous for its inclusive lingerie and elaborate fashion shows on social media; the brand is very successful with 3.9 million followers on Instagram. According to a recent press release, the company does not wish to disclose details of its revenues. The only information provided is that these revenues increased by 200% in 2020 and that the number of subscribers on social networks increased the number of customers by 150%. In 2019, sources had told the Wall Street Journal that the brand’s sales that year were expected to reach $150 million.
“Lingerie celebrates the body and that’s what Savage is all about. [… Savage… is about representing all bodies and confirming that no matter what, everyone is beautiful,” Rihanna said in a statement.
Inclusivity is also an important principle of Fenty Beauty, the Barbados-born singer’s make-up and beauty line. LVMH has decided to focus its efforts on this business. Although Fenty Beauty’s sales have not been made public since 2018 (that year it had sales of around $550 million), LVMH has said that the figure continues to rise. Forbes estimated that the company made over $600 million in sales in 2019 and that Rihanna’s stake was $375 million, making it its most valuable asset.
Rihanna’s net worth is $600 million and is made up of her stakes in Savage X Fenty, Fenty Beauty and her income from her music and acting career.