Rent the Runway has revealed plans to join the Nasdaq with the ticker symbol ‘RENT’.
The platform, which allows people to rent clothes for special occasions, admitted that its subscriber base plummeted during the pandemic.
However, trading has been on the rebound after lockdowns were dropped and people started socialising again.
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Consumers are increasingly more aware of the carbon footprint of their wardrobe, however the company noted the need to “normalise” clothing rental and resale in changing traditional buying habits.
Rent the Runway is only available in the US and joins Poshmark and Thredup in the sustainable fashion sphere, along with second-hand clothes marketplace Vinted, which was valued at €3.5bn earlier this year.
The group, founded in 2009, offers monthly subscriptions for users to rent designer clothes starting for US$69 per month.
Last year, subscribers were down to 95,245 from 147,866 in 2019, but were back to 126,841 in the six months to 31 July this year.
Revenue was US$157mln last year compared to US$256mln in 2019, with losses widening to US$171mln from US$153mln.
In the half-year to July, revenue came in at US$80mln with losses of US$84mln.
“We couldn’t have foreseen the global pandemic and the resulting fight for our survival,” said Jenn Hyman, its co-founder and chief executive, was reported as saying by CNBC. “Today, Rent the Runway has emerged stronger.”