The Curated Shopping Group (Modomoto & The Cloakroom), with the participation of the former shareholders, has just closed a successful financing round with AUDEN AG in the amount of €6 million. The company is receiving €5 million from the new investor, whose share now amounts to a good 10%. The four founders still have the majority of the company in their hands.
“This woman helps 1,000 men find their outfits” was written in March 2012 when the founder of Modomoto, Corinna Powalla, announced her first success figures. In the meantime, these modest beginnings have become a company with around 250 employees. In “Germany’s largest men’s wardrobe ” (4,000 m²), they suit the fashion preferences of more than 400,000 customers.
While management expanded by Andreas Fischer and Mathias Fiedler, the door for venture capital investors remained closed for a long time. The management team is quiete proud of the fact that they have chosen a sustainable business development with the help of banks, a few small early-stage investors and otherwise financing from current revenues. This didn’t stops them from achieving an average doubledigit million turnover and shape the internationally active Curated Shopping Group by acquiring The Cloakroom.
Christofer Radic, the CEO of Auden AG Investment stated: “For us, curated shopping is one of the most exciting e-commerce markets ever, since it has a multibillion potential due to high customer loyalty as well as above-average sales and margins. With its brand MODOMOTO, the Curated Shopping Group has not only maintained its own strength since its inception in 2011, but has also developed impressively with the takeover of the Dutch rival The Cloakroom last year. We want to support the company in its European expansion and deeper market penetration in German-speaking countries with immediate effect.”
Andreas Fischer from the Curated Shopping Group added: “Having already been active in seven countries with Modomoto and The Cloakroom, we are now looking forward to further expanding with the new financing. However, we do not want to depend on investor funds, but continue to grow sustainably. In 2017 we will be profitable for the first time.”
The Curated Shopping Group started in 2011 and operates two brands: Modomoto (Germany, Austria, Switzerland) and The Cloakroom (Netherlands, Belgium, Denmark, Sweden). Both suppliers make it easier for men to shop fashion online. Customers fill out a short questionnaire online and are then assigned a personal stylist. This stylist will assemble new outfits and send them directly to the customer. They only pay for what they like. Styling service as well as return shipping is free of charge.