StockX, the Detroit-based company that utilizes a stock market-inspired system to facilitate the buying and selling of sneakers, streetwear, handbags, and watches through “bids” and “asks,” has been a marketplace disruptor since emerging in February 2016. In just over three years, StockX has grown from a platform dedicated to the sneaker secondary retail market to expanding its offerings to include four product verticals related to women’s and men’s style. It also services millions of Yeezy, Supreme, and Gucci-loving customers in nearly 200 countries, and it has garnered big-name supporters like model Karlie Kloss, rapper Eminem, and Dan Gilbert, who also serves as one of the company’s three co-founders.
Now, even bigger changes are coming to the company. StockX has closed on a $110 million Series C funding round, bringing the company’s value to more than $1 billion.
The latest investment, which is the largest in Michigan venture capital history, according to StockX, comes from firms like DST Global, General Atlantic, and GGV Capital. The funding will help propel the company toward some of its larger goals. StockX has plans to expand internationally with a focus on markets in Europe and Asia. The funding will also support the development of new product categories and development as well as creating brick-and-mortar locations in select cities.
In another step toward change, StockX co-founder Josh Luber will step down as the company’s CEO. Scott Cutler — who has served as senior vice president, Americas at eBay, president of StubHub, and executive vice president of the New York Stock Exchange — has taken on the role. Luber says he and Cutler met days after StockX launched and that the former eBay leader quickly became a trusted advisor.
“As the business scaled rapidly, Greg [Schwartz, StockX co-founder and COO] and I had the idea that Scott might one day be the perfect CEO to take us to the next level,” says Luber, who will continue to work with StockX on the company’s executive leadership team and board of directors. “Then the stars aligned — the growth continued, we added three world-class investors to our team, and Scott became available. We weren’t looking for a new CEO, but this was a no-brainer.”
Cutler as well as Hans Tung, who is the managing partner at GGV Capital, will also join StockX’s board of directors. “…I welcome the opportunity to lead the team as we look to what’s next — extending the reach of the platform and broadening its offering to provide more users with access to an authentic, transparent, anonymous marketplace,” Cutler says.
StockX’s last round of funding took place in September 2018 and resulted in a $44 million investment. Today, the company employees more than 800 people. Along with its downtown Detroit headquarters, StockX has four product authentication centers in the U.S. and Europe.
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