Sellpy adds more strategic investment from H&M, which becomes the major owner in the company.
Sellpy, a Stockholm, Sweden-based company operating an online marketplace for selling and buying second hand items, announced a SEK 132M ($13.4M) financial agreement with its investors.
The deal involves a SEK 92M secondary transaction and a SEK 40M ($4M) investment deal, following which the existing shareholder, H&M CO:LAB, will control the major equity control in the company.
The deal also involves H&M's committment to invest an additional SEK 60M in a few years period, after which it will hold a 74% equity share.
Sellpy, founded in 2014 by CEO Michael Arnör, developed an online platform that enables people to sell their used items online. The company is not profitable as of 2018, at a turnover of SEK 117 million ($12M), a 36% increase yoy.
Prior to this deal, Sellpy raised about $5M in capital investment.