Pattern, a multi-brand consumer goods company, announced on Tuesday it raised $60 million in a mix of debt and equity. Existing investors, including Kleiner Perkins, RRE Ventures and Primary Venture Partners, as well as new investors, like Victory Park Capital, HOF Capital and RSE Ventures, participated in the funding round.
The funding will be used exclusively to purchase DTC brands in the home goods space, the first being GIR ("Get it Right"), a home accessories brand launched in 2012, according to details emailed to Retail Dive.
Pattern, formerly branding agency Gin Lane, has two other brands under it: Open Spaces and Equal Parts.
The team behind Pattern has extensive experience in the direct-to-consumer space and growing brands. Prior to Pattern's inception, Gin Lane helped launch several players like Harry's, Hims, AYR and Stadium Goods.
Now, as Pattern, the company aims to use that industry knowledge to build its own family of brands. With Open Spaces and Equal Parts, the company's latest acquisition of GIR helps further strengthen Pattern's position in the growing home space.
GIR, debuted in 2012, has grown to be a multi-million dollar business that's also profitable, according to Tuesday's announcement — something of a rarity in the DTC space.
Wayfair and Chewy have long struggled with profitability, only recently found themselves in the black, while Casper continues to suffer from net losses.
But for Pattern, its investments into the home space may pay off as that sector of retail continues to heat up. When the pandemic took hold, many consumers' lives suddenly revolved around the home, causing them to invest more into their personal spaces.
"Our intention has always been to build a conversation with our customer," Pattern said in a blog post. "We're artists and designers as much as we are business owners, and we're building these brands as much for our homes and lives, as we are for our shoppers."