We all know and love The Luxury Closet. It's super easy to sell designer pieces - and even easier to get our hands on them, whether it's A-listers' favourite Dior Book Tote in denim, or Gucci's cult newcomer, the Dionysus shoulder bag.
But what happens when the Middle East's leading luxury resale platform merges with the Middle East's beloved beauty tycoon? Well, we're about to find out as Huda Beauty Investment (HBI) - the private investment office of the Huda Beauty founders (namely Huda, Alya and Mona Kattan; Christopher Goncalo and CEO, Karan Wats) - has set foot in the luxury reseale marketplace.
HBI will become one of the principal shareholders of The Luxury Closet, with the ongoing capital raising round of $11 million, along with MEVP as a co-investor. Mona Kattan, Co-Founder and Global President of Huda Beauty will join the board alongside existing shareholders Middle East Venture Partners (MEVP), Wamda Capital, Knuru Capital and Precinct Partners.
"I have always been an advocate of circular fashion, and I am very excited about our endeavours with The Luxury Closet. At the beginning of our entrepreneurial journey, we did not have the means to purchase Fashion Luxury items and thus opted for vintage and second-hand shops. I'm very pleased to be part of the board alongside likeminded individuals, and a business that offers a unique service that fills a major gap in the market," said Mona Kattan of the venture.
This strategic partnership announced by The Luxury Closet and HBI, seeks to tap the combined understanding of consumer behavior in fashion and beauty and to drive brand awareness and increase the adoption of resale.
Huda Kattan also added, “We are excited to partner with The Luxury Closet. Sustainability is one of our primary focuses and a core tenant for the HBI portfolio. In our continued effort to champion responsible and eco-friendly businesses, we couldn’t be more enthusiastic about our partnership with The Luxury Closet.”
Why is Huda Beauty of intrest in the luxury resale marketplace in the Middle East? The partnership will develop The Luxury Closet brand equity and expediting growth across markets while Huda Beauty will add brand development and their massive social media leverage. "The partnership will help us bring the concept to a whole new audience,” confirmed CEO and Founder of The Luxury Closet, Kunal Kapoor.
And as unexpected as it may sound, the partnership is not surprising when you look at the numbers. The Luxury Closet has the highest per capita spend on luxury by re-selling perfect condition luxury items from brands such as Hermès, Louis Vuitton, or Rolex. Just in the last 12 months, the platform has listed 80,000 items from 5,000 sellers worth $120 million.
Little wonder it's caught Huda's attention!