TRAUB Weekly News Update // Week of April 1, 2019

Here's our roundup of this week's top retail news. Two big deals in the Femtech space, Barneys says its not downsizing,The Great Fleece Freak-Out of 2019 and more! 

 M&A and INVESTMENTS

• Tonal raises $45 million to bring strength training to more living rooms Tech Crunch
• Elvie raises $42M to become the go-to destination for women’s health Tech Crunch
• Cora Raises $7.5M in Funding Finsmes
• Good Dog raises $6.7 million to help you find a pup Tech Crunch
• Direct to consumer cookware company Made In raises $5M seed round Bloomberg
• Kellogg to sell Keebler and Famous Amos to Ferrero for $1.3B Food Dive
• Lion Capital Invests in Hatchbeauty WWD
• Authentic Brands Group Acquires Volcom From Kering SGB Media

INDUSTRY NEWS 

Lululemon set to debut selfcare product line
A move into personal care products is another way Lululemon is broadening its efforts to become a lifestyle brand. The "selfcare" line currently includes deodorant, dry shampoo, basic balm and face moisturizer and will be available in the late spring, per the site. The retailer focused on product function, feel and format, and "gathered insights from athletes in our communities," during the research and development process, according to the product site. Retail Dive 

Rent the Runway Offers Fashion for the Younger Set
Rent the Runway is giving mothers an opportunity dress their daughters in smaller versions of favorite brands such as Chloe Kids, Fendi Kids, Stella McCartney Kids, Little Marc Jacobs and Marni Kids, among others. Kids clothing, the fastest-growing apparel sector in the U.S., coupled with the fact that kids grow fast, made a strong case for Rent the Runway to extend the online rental platform’s services to girls’ sizes 3Y to 12Y. According to Hyman, Rent the Runway Kids represents the industry’s first extension into an alternative to ownership for children. The new offering will function as an extension to the current monthly subscription services, Unlimited and Reserve, which allow members to rent up to four pieces of clothing and accessories at a time for a set fee. WWD

Patagonia Is Cracking Down on the Wall Street Uniform

The outdoor gear maker won’t create the products for just anyone through its corporate sales program. Recently, Patagonia has shifted its focus to “mission-driven companies that prioritise the planet,” the company said in a statement late Tuesday. It has made gear for all kinds of companies in the past, from big banks to nonprofit organisations. Patagonia said it wants to add more companies that have the B Corp designation to its client list — businesses that meet certain environmental, social and transparency standards and are certified by a private organisation. Patagonia itself is a B Corp and some financial and technology firms also have that status. BoF  

Adidas Teams With Beyoncé 

Adidas has forged a wide-ranging deal with Beyoncé for footwear, clothing and an Ivy Park relaunch, bringing a new power partnership to the industry. Both parties have high aspirations, suggested the German sportswear giant. The singer and actress will retain ownership of her company, said Adidas, which mentioned the importance of women in leadership, noting Beyoncé would continue “her journey as one of the first black women to be the sole owner of an ath-leisure brand.” WWD

Barneys Says It’s Not Downsizing on Madison Avenue

Barneys New York is pushing back against reports that it wants to downsize the flagship at 660 Madison Avenue, between 60th and 61st Streets. “Barneys New York is committed to maintaining the footprint of its Madison Avenue flagship, and continuing to serve its customers within this iconic store,” the retailer said Tuesday. “There are no active conversations regarding the store’s footprint, and all statements indicating otherwise are false.” The retailer was reacting to recent published reports that it’s having discussions with landlord Ashkenazy Acquisition Corp., which owns the 275,000-square-foot building, to cut its footprint. The reason for the downsizing, according to the reports, is Barneys’ rent for the nine-floor flagship, an estimated $20 million to $30 million. With taxes and other expenses, the amount of $44 million was reported, which Barneys said is “incorrect.” WWD

Bumble goes to print with its new lifestyle magazine, Bumble Mag 

Bumble is the latest digital brand to try to extend its reach through a print publication. The dating app maker today announced the launch of Bumble Mag, a lifestyle publication it produced in partnership with Hearst that offers stories and advice about dating, careers, friendship and more to Bumble’s over 50 million users. For Bumble, the magazine offers the company a way to introduce its brand to new customers as well as extend its relationship with existing users out in the real world. This is part of Bumble’s larger efforts in developing an offline component to its business. The company also runs pop-ups, hosts events and has spoken of plans to launch more physical locations — “Hives,” in Bumble lingo — sometime this year. Tech Crunch
 

Kith Partnering With Russell Athletic on Capsule

Friday is a big day for Ronnie Fieg. Not only is the owner of the buzzy Kith store opening his first international outpost in London’s Selfridges flagship, but he’s also introducing a new upscale collection with Russell Athletic. The 96-piece collection was created and manufactured by Fieg and draws on Russell’s 115-year heritage with a variety of colorful retro athletic styles for men and women. WWD  

COMINGS & GOINGS 

• Madewell names 1st CEO Retail Dive
• Etsy executive appointed CEO of Blue Apron Retail Dive
• SMCP Names Isabelle Allouch CEO of Sandro WWD
• Katie Finnegan to depart Walmart's Store No. 8 Retail Dive
• Macy’s Names Dennis Mullahy Chief Supply Chain Officer WWD

GOOD READS

• Amy Chozick wrote quite the profile on the Kardashian family business in her article for the New York Times "Keeping Up with the Kardashian Cash Flow: Are Kourtney, Kim, Khloe, Kendall and Kylie America's savviest CEOs?" Come for the click-bait title, stay for the fascinating interviews with many of the family members 
• Read this great piece in Forbes, "Andreessen Horowitz is Blowing Up the Venture Capital Model (Again)", which explores the rise of the VC firm and its attempts to maintain its dominance in the changing world of venture capital
• Vanessa Friedman put out two fantastic pieces this week on some of the most culturally emblematic and divisive articles of clothing today: the rise of leggings "to wardrobe domination" and the "great fleece freak-out of 2019" that was caused by the news that Patagonia would no longer make the branded versions of the fleece vests beloved by Wall Street and Silicon Valley bros alike