Skims, $4-billion shapewear company linked to Kanye West, weighs IPO in 2024

Omokolade Ajayi -

Skims, the $4-billion body-positive shapewear company linked to African-American rapper-turned-business tycoon Kanye West, is contemplating strategic initiatives, including a potential initial public offering (IPO) in 2024.

Bloomberg reported that discussions on strategic alternatives — such as an IPO as early as next year — are underway within the shapewear company. Co-founded by Kanye West’s ex-wife, Kim Kardashian and 40-year-old Black entrepreneur Emma Grede, the leading shapewear company is considering future pathways for growth and expansion.

The IPO plan places Skims alongside firms like San Francisco-based social media platform Reddit Inc. and Rubrik Inc., a cloud and data security startup backed by Microsoft Corp — both exploring IPOs in the first quarter, according to sources familiar with the matter.

Skims’ upward trajectory: $270-million injection propels valuation to $4 billion

Skims’ intentions to go public in 2024 follow an impressive financial milestone achieved just four months ago — the company’s valuation soared to $4 billion after a successful funding round that generated $270 million in new investments.

The $270-million capital, led by Wellington Management with contributions from existing investors like Imaginary Ventures, Thrive Capital, and NEA, elevated Skims’ valuation — by $800 million — from $3.2 billion to $4 billion.

Since its inception in 2019, Skims has recorded impressive financial milestones — leveraging its core values of inclusivity and body positivity. The $270-million capital injection from investors is poised to drive Skims’ endeavors for expansive growth.

Kanye West’s Skims stake rises to $200 million, cementing position among wealthiest Black individuals

Kanye West’s 5-percent stake in Skims, has seen a notable increase in recent times. The stake valued at $200 million — reflecting a $40-million increase from $160 million earlier this year — contributes to West’s wealth, solidifying his position among the world’s wealthiest Black individuals with a fortune of $400 million, according to Forbes.

The deliberations on an IPO in 2024 reflect Skims’ strategic vision for sustained growth, leveraging its foundational principles and influential partnerships to further establish its position in the market.