#USA #Tapestry #Gen Phoenix #Leather Innovation #Peterborough

Gen Phoenix Secures $15 Million Investment with Tapestry

In a significant development for the fashion and sustainability sectors, Gen Phoenix, a pioneering manufacturer in sustainable recycled leather fiber, has announced a landmark investment round totaling $15 million. This funding comes alongside an expanded strategic partnership with Tapestry, Inc. (NYSE TPR), the parent company of renowned brands such as Coach, Kate Spade, and Stuart Weitzman. This collaboration represents a unique blend of innovation and commitment to sustainability, reflecting the evolving landscape of the fashion industry.

Gen Phoenix's partnership with Tapestry has escalated into a multifaceted relationship that goes beyond typical vendor agreements. Since its inception in 2022, the collaboration has evolved into a blueprint for how brands and material innovators can co-create sustainable solutions. The newly negotiated three-year supply agreement positions Gen Phoenix as a core partner for Tapestry, allowing the latter to integrate next-generation materials at an unprecedented scale.

An Expanded Investment

The recent investment round, led by the venture capital firm Material Impact, also sees Tapestry significantly increasing its equity stake in Gen Phoenix to 9.9%, nearly quadrupling its initial investment made in 2023. According to John Kennedy, CEO of Gen Phoenix, this enhanced partnership signifies a vital milestone, showcasing how circular innovation can effectively meet global brand demands without compromising on quality or sustainability.

Kennedy emphasized, "Together with Tapestry, we’re proving that circular innovation can meet the demands of global brands without compromise. This partnership is a powerful example of what can happen when material innovation combines with leather heritage, shared values, and a commitment to scale."

Driving Innovation and Sustainability

This collaboration allows both companies to share resources and access R&D insights while working closely on developing advanced materials that respect the traditional craftsmanship associated with Tapestry's brands. The investment aligns with Tapestry’s strategic goals to lead in sustainable fashion while offering strong supply chain resilience, quality, and alignment with the values of the next generation of consumers.

Scott Roe, Tapestry’s Chief Financial Officer and Chief Operating Officer, noted, "This investment reflects our belief in the power of innovation to drive both purpose and profit. With Gen Phoenix's platform enabling circularity at scale, we can deliver high-quality materials that meet the demands of modern consumers."

Investing in the Future

The $15 million funding will empower Gen Phoenix to scale its production capabilities in the UK, where its facility has the potential to generate over 60 million square feet annually. This expansion is critical as luxury retail brands increasingly gravitate toward the trend of 'luxcycling,' which involves utilizing innovative materials and proprietary manufacturing processes to extend the lifespan of luxury items while adhering to quality standards.

This refined partnership not only bolsters Tapestry’s commitment to sustainable innovation but also paves the way for significant advancements in circular leather technology, aimed at reshaping the future of materials in the fashion industry. Gen Phoenix’s approach of rescuing leather offcuts that would otherwise end up in landfills and transforming them into premium materials is positioned to set a new standard in sustainable practices across various industries.

About the Companies

Founded in 2007, Gen Phoenix is at the forefront of developing sustainable materials, focusing on transforming waste into high-quality recycled leather. Its patented technology allows for the diversion of thousands of tons of material from landfills while ensuring that circularity can function at scale. Gen Phoenix’s products cater to a variety of sectors, including transportation seating, leather goods, footwear, and automotive industries.

Tapestry, Inc., a global tapestry of brands that includes Coach, Kate Spade, and Stuart Weitzman, is dedicated to craftsmanship and innovation. With a strong heritage in leather goods and a vision towards a sustainable future, Tapestry is committed to pushing the boundaries of the fashion industry, ensuring that creativity and responsibility go hand in hand.

To learn more, please visit Gen Phoenix and Tapestry.