Second-hand fashion marketplace Vinted has raised 250 million euros in a series F funding round led by investment firm EQT Growth.

This latest funding values the Lithuania-headquartered company at 3.5 billion euros, up from the 1.1 billion euro valuation it was given following its last fundraising in November 2019.

Vinted CEO Thomas Plantenga [pictured] said the company will now focus on expanding the business to new countries. “We want to replicate the success we’ve built in our existing European markets in new geographies and will continue investing to improve not only our product, but also to ensure we continue having a positive impact,” he said in a release.

“We are grateful to our existing and new investors, and believe today’s milestone is a vote of confidence in our commitment to the circular economy and our relentless effort to build a business that encourages more people to buy and sell second-hand.”

Vinted valued at 3.5 billion euros

Founded in 2008, Vinted operates in over 10 markets and has become the largest online C2C marketplace in second-hand fashion across Europe.

Its impressive growth underlines an increasing consumer interest for more sustainable fashion consumption, driven in particular by a more environmentally aware younger generation.

And with that growing trend comes growing interest from investors like EQT Growth. Carolina Brochado, a partner and investment advisor to EQT Growth, said Vinted is “the perfect example of EQT Growth’s strategy of backing fast-growing European tech champions that tap into several macro trends, such as the increasing consumer demand for sustainability and continued penetration of online channels within fashion”.

Brochado will also join Vinted’s board of directors.

A number of rival second-hand fashion platforms have taken big steps in the last year as lockdown has boosted sales, with ThredUp and Poshmark both going public.

According to ThredUp’s most recent annual report published in June 2020, the second-hand market is expected to hit 64 billion dollars in the next five years and overtake the fast-fashion industry by 2029.