Kim Kardashian’s Skims hits $5bn valuation after new $225m raise

Skims has secured a fresh $225 million (£171.3 million) funding round that pushes the brand’s valuation to $5 billion (£4.57 million), marking one of the most significant capital injections into an apparel label this year and underscoring investor confidence in celebrity-led brands.

The investment, led by Goldman Sachs Alternatives, will fuel Skims’ expansion into apparel, activewear and retail as the brand works toward becoming a predominantly physical global business.

Founded in 2019 by Kim Kardashian and Jens Grede, Skims has rapidly grown from a shapewear disruptor into a diversified lifestyle brand. It is expected to exceed $1 billion (£761 million) in net sales in 2025. After this raise, Skims is now valued at more than Victoria’s Secret and Under Armour combined, placing it among the most valuable US apparel companies.

The brand said the new capital will be used to broaden its core intimates and shapewear assortment while accelerating its move into fashion and performance categories. Skims recently unveiled a partnership with Nike to create women’s activewear, which strengthened its position as a serious sportswear player.

It will also use funding to move into beauty, a strategic expansion that will further consolidate Kardashian’s fashion and cosmetics ventures under a single umbrella. Skims recently appointed Diarrha N'Diaye, founder of the inclusive beauty brand Ami Colé, as Executive Vice President of Beauty & Fragrance.

Retail remains a key growth pillar. Skims currently operates 18 US stores and two franchise locations in Mexico, with an aggressive pipeline of new openings planned.

Grede has long said that Skims "deserves" to be a public company. While he told WWD last year that a sale or IPO was not imminent, the brand’s escalating valuation and accelerated retail strategy are likely to reignite speculation about an eventual listing.

Grede said: "This milestone reflects continued confidence in our long-term vision and, coupled with disciplined execution, positions Skims to unlock its next phase of growth."

Kardashian added: "We can’t wait to take Skims to the next level as we continue to innovate and set the standard for our industry."

The UK will play a major role in that next phase. Skims is set to open its first UK standalone store on London’s Regent Street, taking over the former Ted Baker unit in a landmark 10-year lease with The Crown Estate. The 12,000 sq ft flagship, slated to open in summer 2026, was described by co-founder Jens Grede as a "pivotal step" in the brand’s global expansion.

With its new capital, expanding category footprint and a flagship on one of London’s most powerful shopping streets, Skims is positioning itself for a new era of international dominance.