Vuori has landed a new round of investment to support the continued growth of the hot-selling brand.
The company announced Friday that two private equity firms – General Atlantic and Stripes – along with a cohort of additional investors, are sinking $825 million into Vuori.
That brings the active brand’s valuation to $5.5 billion, up from its previous valuation of $4 billion in 2021 when SoftBank Vision Fund 2 invested $400 million. It also keeps the company private for now, rather than pursuing an IPO, which Bloomberg reported last year the company was considering in 2024.
“As we continue to drive momentum, growth, and market share gains, we are grateful to have the additional partnership of these leading organizations,” Joe Kudla, founder and CEO of Vuori, said in a statement. “Alongside our existing major investors, General Atlantic and Stripes will be key strategic partners and supporters in our ongoing mission and growth journey. They bring industry expertise and track records in helping emerging category leaders accelerate their expansion efforts while sustainably scaling globally.”
An avid surfer and yogi, Kudla started the Encinitas, California-based business in 2015 and built a strong following among specialty surf shops and the broader Southern California market before gaining ground in other parts of the country using e-commerce and digital advertising. In 2019, Norwest Venture Partners invested $45 million in the brand.
Vuori is repeatedly called out by both outdoor and surf retailers and major chains, such as Nordstrom Inc., for its popularity among consumers.
Vuori Men’s at Seed People’s Market in Costa Mesa, Calif. The Daily file photo.
It also has aggressively opened stores in the past several years and now has approximately 75 globally. The company expects to pass the 100-store mark in in 2026, with a focus on expanding in Europe and Asia.
The privately held company doesn’t disclose financial information. However, Kudla told Shop Eat Surf in an interview in 2022 that the business’s revenue grew over 100% in 2021.
“Vuori encapsulates everything we look for in a Stripes investment – the products are amazing and beloved by the consumer, the team is fanatical about quality and innovation, and the market for athleisure is global with durable tailwinds,” said Chris Carey, partner at Stripes, in a statement. “We are excited to be partnering with Joe and the Vuori team at this compelling inflection point for the brand.”
The U.S. athleisure market is expected to grow at a compound annual growth rate of 7% through 2028, according to the press release announcing the latest Vuori news.
A Vuori section at Tyler’s in Texas. File photo by The Daily.
