Reality television star turned business mogul Kim Kardashian has reached new financial heights, with her shapewear and apparel brand Skims achieving a staggering $5 billion valuation following a recent funding round. This development has significantly boosted her personal wealth, cementing her status as one of fashion's most successful entrepreneurs.
The Funding That Changed Everything
The latest $225 million funding round led by Goldman Sachs Alternatives has propelled Skims into the billion-dollar valuation stratosphere. According to Forbes, this injection of capital has added approximately $200 million to Kim Kardashian's personal fortune, pushing her net worth to an estimated $1.9 billion.
This represents substantial growth from the company's previous valuation of $4 billion during its 2023 fundraising round. The rapid appreciation demonstrates the brand's strong market position and growth trajectory in the competitive fashion industry.
From Shapewear to Billion-Dollar Empire
Skims launched in 2019 with a focus on shapewear but has since dramatically expanded its product offerings. The brand now includes t-shirts, pajamas, jackets, and men's hoodies, showing Kim Kardashian's vision for creating a comprehensive apparel company.
Despite years of success on Keeping Up With The Kardashians and The Kardashians, most of Kim Kardashian's wealth now originates from Skims. Forbes estimates that she owns just under one-third of the company, making her the primary beneficiary of its success.
The brand's cofounders Jens and Emma Grede, who together hold about 14% of the company, have also seen their fortunes grow by roughly $150 million through this latest valuation increase.
Expansion and Future Plans
Skims is demonstrating remarkable financial performance, with projections indicating the brand will generate $1 billion in sales this year. This represents significant growth from the $750 million in sales reported during its last funding round.
The company now operates 20 stores across the U.S. and Mexico, with ambitious plans to become a "predominantly physical business" according to company statements. This physical retail expansion strategy comes at a time when many brands are focusing primarily on e-commerce.
Kim Kardashian remains deeply involved in the business, stating on The Graham Norton Show earlier this month: "I do everything from all the design to pick out all the campaigns. That's my daily job." This hands-on approach continues even as she works to pass the bar exam.
New Product Launches and Brand Extensions
Skims shows no signs of slowing its expansion. In February, the company launched NikeSkims, an activewear collaboration with sportswear giant Nike. The partners are scheduled to release additional NikeSkims products, including socks, waist packs, and training gloves, hitting stores on Thursday, November 13.
The brand is also moving beyond apparel into the beauty sector. Skims recently took full ownership of SKKN by Kim after buying back French beauty giant Coty's 20% stake. Earlier this month, the company hired Diarrha N'Diaye, founder of clean beauty label Ami Colé, to lead its upcoming push into skincare and fragrance.
Jens Grede, the company's cofounder and CEO, emphasized the company's vision in a press release: "This milestone reflects continued confidence in our long-term vision and coupled with disciplined execution, positions Skims to unlock its next phase of growth."
Kim Kardashian, who serves as chief creative officer, echoed this sentiment: "We can't wait to take Skims to the next level as we continue to innovate and set the standard for our industry."
