The Iconic gains $28m in fresh funds
Bec Fary / July 12, 2013 02:43 PM
Local online fashion outlet The Iconic has secured $28 million in new investments.
Investors from Belgium, Sweden and the US are now helping fuel the Australian start-up’s future growth.
Finn Haensel and Adam Jacobs, the young entrepeneurs behind The Iconic.
Photo credit: The Australian.
The Iconic was established less than two years ago and Adam Jacobs and Finn Haensel, the young entrepreneurs behind the scenes, are quickly gaining attention.
With 4 million customer visits per month, The Iconic claims to be Australia’s No. 1 fashion retailing website.
Rather than trying to compete with major retailers like Myer and David Jones on pricing, The Iconic offers a point of difference through its service and delivery.
Managing Director Adam Jacobs attributes The Iconic’s popularity to features like its three-hour delivery service in Sydney.
Jacobs has not publicly commented on when The Iconic will become profitable, although he indicates the business is tracking well against its targets.
He said building the business is his current priority.
“As a business, we are focused on positioning ourselves for the future, and are delivering on our goals for long-term sustainable growth,” he said.
“We believe in the fast-growing Australian e-commerce industry and want to provide Australians with the best online shopping option they can imagine.”
Family-owned Belgian investment company Verlinvest is the lead investor in the latest $28 million injection, which The Iconic believes is the largest-ever investment to an Australian e-commerce company.
Swedish company Investment AB Kinnevik and US venture capital fund Summit Partners also contributed funds.
The start-up previously attracted $50 million from investors JP Morgan and German e-commerce firm Rocket Internet, as well as some smaller shareholders.
Verlinvest chairman and founder Frédéric de Mevius praised The Iconic on its success.
“The Iconic management team has done an exceptional job of growing the company during the past year, and we are heappy to be investing in this great success story,” he said in a statement.
The latest investment brings The Iconic’s total funding to $78 million, strengthening the fashion start-up’s position as a fast-growing young business to watch.
In the current turbulent retail climate, it’s exciting to see a start-up like The Iconic go from strength to strength, indicating a stronger future for online retailers
Sources: The Australian, ZD Net.
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