Khaite found a new partner for its next phase.
The buzzy brand launched by Catherine Holstein said it was receiving an investment from New York growth equity firm Stripes.
“This is an exciting chapter for Khaite,” said Catherine Holstein, who was named the 2022 Womenswear Designer of the Year by the Council of Fashion Designers of America. “After opening the first store on Mercer Street in February, we are strategically looking ahead to continue to grow and strengthen our presence on a global scale.”
Holstein started the business in 2016 with an initial investment from Adam Pritzker of Assembled Brands.
“Co-founding and building Khaite has been an honor,” Pritzker said. “In partnership with Cate, we accomplished the extremely audacious goal of building the foremost American luxury brand. The next stage of investment will further accelerate Khaite’s expansion and ensure greater visibility for an already iconic brand that is redefining American luxury.”
Khaite offers ready-to-wear, footwear, handbags and accessories through 270 points of distribution with 120 e-commerce and brick and mortar partners
The new money will be used to power the brand’s next stage of growth.
Ken Fox, founder and partner at Stripes, said: “Khaite is an extraordinary brand rooted in product quality and taste. We are excited to build from this tremendous foundation to support the team in scaling a global luxury house.”
WWD first reported that Khaite was evaluating its investment options in August, when a number of other brands were out testing the market and looking for money.
But while many of the brands on the hunt never connected with investors, Khaite was always viewed as a hot property that would find more backing as it plotted its future.
In an interview in February, Holstein marveled at the growth of the brand, which has crossed the $100 million mark and seen triple-digit growth year-over-year.
“If somebody told me we’d been here in 2023 when we launched in 2016 revenue-wise, I’d never believe them,” she said, as she prepared to open the brand’s first-ever retail location, which is in New York.
At the time, the company was planning to open 10 stores in the next five years with Los Angeles likely being the next stop.