Womenswear etailer Sosandar raised £5.3m as it floated on the London Stock Exchange’s Aim market on Thursday 2 November and is now looking to expand its market share.
The online own-label etailer placed new ordinary shares at 15.1p per share, valuing the company at around £16.1m.
It was launched by former editor at Look magazine Ali Hall and its ex-publishing director Julie Lavington in September 2016, and the pair have gone from owning 25% of the business between them to 5% each after the Sosandar’s parent company Thread 35 ltd was bought by Orogen plc - now renamed to Sosandar plc - for £6.3m last month.
The co-founders are now chief executives of the business which reported total gross sales of £847,000 in the 11 months to July 31 2017 and net sales after returns of £478,000.
According to the etailer, its founders identified a “growing gap in the market” estimated at £3.7bn for the year ended December 2016 of “under-served women looking for affordable fashion-forward clothing with a premium, trend-led aesthetic”.
The business exclusively sells own-label product created by an in-house design team.
The website sells full-price tops for £25-£49 and coats and jackets for between £49 and £795, while footwear ranges from £75 to £120.
Lavington said: “Sosandar intends to expand its market share in the already large and successful, yet still growing online fashion market.
“Investment will be used to further extend the product range and develop brand awareness amongst potential customers in both the UK and overseas.”