Latest news with #Tapestry
Yahoo
3 days ago
- Business
- Yahoo
Gen Phoenix Closes $15M Round, Enters 3-Year Supply Deal with Tapestry
Gen Phoenix and Tapestry are making it official—again. This time, it's a material commitment The partners announced an over $50 million, three-year contracted material supply deal and a $15 million funding round led by Material Impact. More specifically, the Coachtopia company increased its ownership stake in Gen Phoenix to 9.9 percent in a move that nearly quadrupled Tapestry's initial investment. More from Sourcing Journal The Science of Sunwear Material World: Decathlon Runs with Rheon, Spiber Goes Dutch in Paris PBS Docuseries Unravels Fashion's Final Destination 'Tapestry's approach to next-generation material innovation is guided by a disciplined framework that balances strategic focus with exploratory breadth,' said Scott Roe, chief operating and financial officer at Tapestry. 'We recognize that scaling a breakthrough to margin-moving relevance requires more than just promising technology—it demands commercial viability, supply chain readiness, and brand alignment.' For Tapestry, the investment delivers supply chain resilience, quality performance and alignment with next-gen consumers' values. 'Tapestry's follow-on investment in Gen Phoenix was structured as an equity stake increase, not as a convertible or hybrid instrument,' Roe explained. 'The partnership also includes a three-year contracted supply agreement, reinforcing our shared commitment to accelerating the adoption of next-generation materials across our brand portfolio.' For Gen Phoenix, the investment 'realizes the full value' and commercial potential of its technology platform, as evidenced by the successfully demonstrated expansion beyond tannery waste to translate post-industrial and post-consumer leather waste into circular materials. 'Gen Phoenix is making strategic investments into R&D to continue to advance our position as a global leader in circular materials said John Kennedy, chief executive officer of Gen Phoenix. He added that this closed-loop material solution, better known as Helios, is a 'bold example' of how Gen Phoenix is both responding to and driving market shifts. 'Proof that sustainability can scale; circularity can be profitable and next-gen innovation can meet the highest standards of safety and performance.' The relationship between Gen Phoenix and Tapestry has evolved beyond the traditional vendor dynamic initiated back in 2022. 'This investment reflects our belief in the power of innovation to drive both purpose and profit,' Roe said. 'Gen Phoenix's platform enables circularity at scale—delivering high-quality materials that meet the style, performance and impact expectations of today's consumer.' This next iteration serves as a blueprint, the collaborators said, for brands and material innovators to (successfully) cooperate on sustainable solutions. The partners worked side-by-side to share R&D access, factory floors and design ideas in pursuit of engineering a material that 'honors the heritage of leather Tapestry brands' while extending its life with Gen Phoenix's circular practices. To that end, the multi-faceted partnership solidifies Gen Phoenix's role as a 'core material innovation partner' for Tapestry brands by enabling access to next-generation materials at 'unprecedented scale and consistency,' the Coach parent said. Coupled with retail's increasing interest in 'luxcycling,' Gen Phoenix's portmanteau for 'the use of innovative materials and proprietary manufacturing processes to extend the lifespan of luxury fashion and accessories products while maintaining the heritage and quality standards,' the rest of the industry can look to this expanded partnership on how to follow suit. 'As global leader in quality leather goods, we see significant opportunity to be a catalyst of next-generation materials that are consistent with our heritage of craftsmanship,' Roe said. 'This partnership reinforces our commitment to leading the fashion industry in sustainable innovation and ensuring a resilient, future-ready supply chain.' Gen Phoenix was funded in part by Material Impact's second material impact fund (MIF II) as well, according to the Boston-based deep venture capitalist. The MIF II wrapped in June 2020, per a blog post by the fund's cofounder and managing partner, Carmichael Roberts. It raised a cumulative, oversubscribed $195.3 million from 44 financiers. Formerly known as ELeather, the UK-based upcycler completed an $18 million funding round in March 2023—also led by Material Impact—which saw the leather rescue-and-regenerator rebrand to the name Gen Phoenix. 'We don't really invest in fads,' Material Impact's marketing partner Elyse Winer said to The Boston Globe at the time. 'We invest in these problems that aren't going away.' Thanks to the $15 million investment round, Gen Phoenix plans to expand into new categories and global markets. These expansions, per Kennedy, demonstrate how Gen Phoenix continues molting—evolving from a transport materials supplier to a circular platform across consumer markets 'with momentum in sectors where sustainability is becoming a competitive advantage.' 'We're focused on expanding into high-growth sectors like automotive interiors and tech accessories, where the demand for sustainable, high-performance materials is accelerating,' Kennedy said. 'These sectors offer a compelling intersection of design, performance and sustainability—all areas where our material platform excels. The auto space is particularly exciting, especially our partnership with a Jaguar Land Rover, as it underscores confidence in our technology and potential.' The UK company also plans to scale its production infrastructure at its Peterborough facility, which has an annual capacity of 60-plus million square feet. In tandem, Kennedy said, accelerating R&D and commercialization efforts for Helios, the company's circular solution (aka integrating post-consumer and end-of-life waste), is in response to demand. 'This expanded partnership marks a major milestone—not just for Gen Phoenix, but for the future of sustainable materials,' Kennedy said. 'Together with Tapestry, we're proving that circular innovation can meet the demands of global brands without compromise. It's a powerful example of what happens when you combine material innovation, leather heritage, shared values and a commitment to scale.' These examples, per Roe, align against Tapestry's broader commitment to circularity, material innovation and reducing environmental impact across the group's value chain. 'Ultimately, our goal is to ensure that every next-gen investment has a clear path to commercial relevance,' Roe said. 'And that our innovation strategy remains tightly aligned with our business priorities and stakeholder expectations.' To that end, Tapestry is 'actively exploring' opportunities to close the loop on leather waste. As part of this expanded relationship, Tapestry is evaluating formal take-back channels that would allow the group to redirect post-industrial leather scrap into Gen Phoenix's recycling process. 'Our focus remains on scaling responsibly across our portfolio,' Roe said. 'Each brand within the Tapestry house brings a unique heritage and consumer base; we're approaching future volume growth in a way that reflects those distinct identities.' 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Yahoo
3 days ago
- Business
- Yahoo
Tapestry, Inc. (TPR) Is 'Well Run,' Says Jim Cramer
We recently published . Tapestry, Inc. (NYSE:TPR) is one of the stocks Jim Cramer recently discussed. Tapestry, Inc. (NYSE:TPR) is a luxury apparel company whose shares have managed to withstand the broader pessimism in the retail and apparel sector. The stock is up by 49.9% year-to-date, with all these gains attributable to the 62% jump since early April. Tapestry, Inc. (NYSE:TPR)'s shares have gained due to several tailwinds such as robust earnings performance, which saw the firm raise its full-year revenue and EPS guidance to $6.95 billion and $5 in May. Cramer is impressed by Tapestry, Inc. (NYSE:TPR)'s performance, as he remarked: 'Now Tapestry's the best story in the industry because of Coach being on fire. I know that Birkin went for a lot of money. That seems like to me like a [inaudible] but the Coach is doing incredibly well. And Ralph Lauren is doing well. We've got companies that I think can withstand the tariff. A close-up of diverse group of people wearing the company's small leather goods. 'Wow, that company's so well run. They don't promote themselves. Here we are again. Here we are again. Another all-time high. 20 billion, I know that it's not that big.' Previously, Cramer commented that weakness in Tapestry, Inc. (NYSE:TPR) was simply due to the zeitgeist: 'And Tapestry today. . .that's just zeitgeist. That's just people saying well look I. . .we're pulling back, I'm going to get away from these uh expensive so to speak, apparel companies. And they're not that expensive. But, it does, it's worrisome, because no one can come out and say, hey listen, that's not true. You have a zeitgeist moment that is really affecting everything. It's a shame. Doesn't have to be this way.' While we acknowledge the potential of TPR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the . READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
4 days ago
- Business
- Yahoo
Tapestry increases stake in recycled leather maker
This story was originally published on Fashion Dive. To receive daily news and insights, subscribe to our free daily Fashion Dive newsletter. Dive Brief: Tapestry has increased its equity stake in recycled leather manufacturer Gen Phoenix to 9.9%, according to a press release. The Coach and Kate Spade owner is participating in the startup's $15 million funding round, and the new investment nearly quadruples its initial stake in the company in 2023, per the release. The deal also includes a three-year contracted supply agreement. Dive Insight: The partnership makes Gen Phoenix a core material innovation partner for Tapestry and allows the startup to bring its material to the Coach and Kate Spade brands with consistency at scale, per the release. Tapestry and Gen Phoenix initially partnered in 2022, which led to the launch of the Coachtopia subbrand the following year. Since then, the two companies said their partnership has evolved beyond a typical vendor relationship and could be used as a blueprint for future material innovation between materials companies and brands. Tapestry and Gen Phoenix shared research and development access, factory floors and design insight, per the release. The new agreement gives Tapestry supply chain resilience and the opportunity to align with the next generation of consumers' values, per the release. The company has made a recent push to connect with Generation Z, a reportedly environmentally conscious generation. The strategy has been paying off, with the company continuously logging revenue increases and gaining new customers. However, Tapestry's leather sourcing practices have come into question recently when environmental nonprofit Earthsight said Coach's leather is at risk of being sourced from areas with deforestation. In response, Tapestry said it has launched various initiatives to create a deforestation-free leather supply chain. Meanwhile, Gen Phoenix's $15 million funding round is led by venture capital firm Material Impact. The startup plans to use the money to expand into new categories and global markets, scale production at its U.K. facility, and accelerate research and development to commercialize circular leather. The startup deconstructs leather waste into fibers to form a new raw material. It has similar qualities to traditional leather, but with an 85% lower carbon footprint, CEO John Kennedy told Fashion Dive last year. Gen Phoenix initially launched in the mass transportation seating category, creating leather for aviation, bus and rail seats. In addition to partnering with Tapestry in the fashion space, Gen Phoenix is working with footwear brand Dr. Martens on a capsule collection made from its material, with more to come. Other Gen Phoenix investors include InMotion Ventures, the investment arm of Jaguar Land Rover, ETF Partners and the Hermes GPE Environmental Innovation Fund. Recommended Reading Repreve launches filament yarn, insulation materials made from recycled polyester Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Associated Press
4 days ago
- Business
- Associated Press
Investing in the Future of Sustainable Luxury: Tapestry Expands Partnership With Gen Phoenix
Tapestry's purpose is clear: to stretch what's possible in fashion while staying true to our heritage of craftsmanship, quality, and innovation. Today, Tapestry is proud to share a bold step forward in that journey—an expanded partnership with Gen Phoenix, a pioneer in sustainable recycled leather fiber materials. With a new three-year supply agreement and an increased equity stake in Gen Phoenix to 9.9%, Tapestry has nearly quadrupled its initial investment from 2023. This investment is part of Gen Phoenix's $15 million Series round, led by Material Impact, and it reflects our belief in the power of innovation to drive both purpose and profit. Tapestry's relationship with Gen Phoenix began in 2022, and it's grown into a model for how brands and material innovators can co-create sustainable solutions. Together, the companies have developed next-generation materials that honor the legacy of leather—so central to our brands Coach, Kate Spade, and Stuart Weitzman—while transforming it through circular processes. This isn't just about sourcing materials. It's about building a resilient, future-ready supply chain that aligns with the values of today's consumers. Gen Phoenix's platform enables circularity at scale, delivering high-quality materials that meet our expectations for style, performance, and impact. 'As a global leader in quality leather goods, we see significant opportunity to be a catalyst for next-generation materials,' said Scott Roe, Tapestry's Chief Financial Officer and Chief Operating Officer. 'This partnership reinforces our commitment to leading the fashion industry in sustainable innovation.' Tapestry's expanded investment helps Gen Phoenix accelerate its mission in meaningful ways: 'This expanded partnership marks a major milestone—not just for Gen Phoenix, but for the future of sustainable materials,' said John Kennedy, CEO of Gen Phoenix. 'Together with Tapestry, we're proving that circular innovation can meet the demands of global brands without compromise. It's a powerful example of what happens when you combine material innovation, leather heritage, shared values, and a commitment to scale.' For Tapestry, this means greater supply chain resilience, continued product excellence, and deeper alignment with the values of the next generation of consumers. Tapestry is excited about what's ahead and looks forward to continuing this journey with Gen Phoenix to redefine what sustainable luxury can be. Visit 3BL Media to see more multimedia and stories from Tapestry, Inc.
Fibre2Fashion
5 days ago
- Business
- Fibre2Fashion
US' Tapestry ups stake in Gen Phoenix to 9.9%, signs 3-year pact
Gen Phoenix, a leading sustainable recycled leather fiber material manufacturer at scale, today announced a new chapter in its ongoing partnership with Tapestry, Inc. (NYSE: TPR)—the house of iconic brands including Coach, Kate Spade, and Stuart Weitzman. The partnership includes a three-year, contracted supply agreement, along with an increased investment from Tapestry as part of Gen Phoenix's $15 million Series round led by venture capital firm, Material Impact. As part of the round, Tapestry has increased its equity stake in Gen Phoenix to 9.9%, nearly quadrupling its initial 2023 investment. Tapestry has increased its equity stake in Gen Phoenix to 9.9 per cent, nearly quadrupling its initial 2023 investment. The expanded partnership includes a three-year supply deal and supports Gen Phoenix's $15 million funding round. It aims to scale circular leather innovation, reinforce sustainable supply chains, and meet demand for next-gen, eco-conscious materials. This multi-faceted partnership solidifies Gen Phoenix's role as a core material innovation partner to Tapestry brands, enabling access next-generation materials at unprecedented scale and consistency. "This expanded partnership marks a major milestone—not just for Gen Phoenix, but for the future of sustainable materials," said John Kennedy, CEO of Gen Phoenix. "Together with Tapestry, we're proving that circular innovation can meet the demands of global brands without compromise. It's a powerful example of what happens when you combine material innovation, leather heritage, shared values, and a commitment to scale." A Partnership Built for Scale, Resilience, and Impact The partnership between Gen Phoenix and Tapestry—first initiated in 2022—has evolved far beyond a typical vendor relationship, serving as a blueprint for how brands and material innovators can co-create sustainable solutions. The two companies have worked side-by-side—sharing R&D access, factory floors, and design insight—to engineer a material that honors the heritage of leather Tapestry brands are known for while extending its life through circular transformation. "This investment reflects our belief in the power of innovation to drive both purpose and profit. Gen Phoenix's platform enables circularity at scale—delivering high-quality materials that meet the style, performance, and impact expectations of today's consumer," said Scott Roe, Tapestry Chief Financial Officer and Chief Operating Officer. "As global leader in quality leather goods, we see significant opportunity to be a catalyst of next-generation materials that are consistent with our heritage of craftsmanship. This partnership reinforces our commitment to leading the fashion industry in sustainable innovation and ensuring a resilient, future-ready supply chain." Fueling the Future of Circular Materials with New Funding Tapestry's latest investment advances both companies' sustainability and business goals: For Tapestry, it delivers supply chain resilience, quality performance, and alignment with next- gen consumers' values. For Gen Phoenix, the collaboration further validates the scalability and commercial potential of its material platform—proving it can meet the three key criteria that matter most to leading brands: price, performance, and planet. In other words, delivering sustainability without compromising on price or quality. Through Gen Phoenix's $15 million investment round, the company will be enabled to: Expand into new categories and global markets. Scale its production infrastructure at its U.K. facility, which has capacity for 60+ million ft² annually. Accelerate R&D and commercialization of its fully circular leather solution that integrates post-consumer and end-of-life waste. As luxury retail brands increasingly embrace a trend Gen Phoenix calls 'luxcycling' – the use of innovative materials and proprietary manufacturing processes to extend the lifespan of luxury fashion and accessories products while maintaining the heritage and quality standards – this expanded partnership underscores how Gen Phoenix and Tapestry continue to pave the way in circular leather innovation for an industry-wide transformation toward sustainable luxury materials. Note: The headline, insights, and image of this press release may have been refined by the Fibre2Fashion staff; the rest of the content remains unchanged. Fibre2Fashion News Desk (HU)
