Highsnobiety, an online luxury streetwear magazine, hired investment bank LionTree to weigh the deal against interest from potential suitors, two people familiar with the situation told DealBook newsletter.
The company expects to generate about $ 60 million in revenue this year and may see interest from media brands or online retailers attracted by the growing convergence of retail and media.
Highsnobiety, which positions itself as “at the forefront of youth culture,” follows the latest sneaker releases and comments on the fashion of the day. As the boundaries between media, entertainment and retail blur, sites such as Highsnobiety, Goop, Glossier and others serve as handpicked online magazines to shop from. Highsnobiety has also gone beyond digital media with its own product collection and pop-up stores.
Internet luxury has become a hotbed of deals, with sites that can replicate the premium shopping experience (which Amazon can’t) while making big bucks. Yoox merged with Net-a-Porter in 2015, a deal inspired in part by Net-a-Porter’s editorial ability. Ssense, an online retailer of new and street brands, has raised over $ 4 billion in funds from Sequoia Capital this year.
Street fashion has taken its place in the luxury industry. Brands such as Supreme, Yeezy and Off-White have garnered passionate fans for high heels, while traditional luxury retailers like Celine have created collections to celebrate the street. High-end sneakers can now sell for over $ 1,000 as marketplaces like StockX and Goat have raised millions from investors to expand their sneaker markets, with shoppers seeing shoes as a form of currency.
