H&M group’s investment arm has ploughed millions of pounds into menswear startup Thread as the young brand continues to grow.
In a Series B funding round led by H&M, Thread has secured $22 million (£16.7 million) in additional funding, bringing its total investment to over $40 million (£30.4 million).
Other investors who supported Thread included investment capital firms Baldeton Capital, Forward Partners and Beringea, alongside Sebastian Picarod, the former deputy president of luxury at Lane Crawford.
It is understood that Thread will use the extra cash to grow its AI team and invest in marketing strategies.
Thread has grown significantly since its inception in 2012, now boasting over 1 million users, 100 staff and a raft of top brand partnerships.
The platform acts as a personal stylist to its shoppers, using an algorithm to present styles, brands and sizes that uniquely fits customers.
“We’ve always had a really good set of investors from the tech and start up world and this round we were interested in getting an investor who knew the fashion retail industry inside out,” chief executive Kieran O’Neill told Drapers.
“H&M is one of the best global retail companies and when it comes to understanding customers and how guys shop globally they can offer way more than a normal investor can.
“We have our first outdoor ad campaign going live in a couple of weeks on the tube and with cross-track posters. We’ve also been building out an in-house creative team. The funding gives us a chance to have a visual identity refresh.”