Vinted rules out listing for now

Vinted, Europe's largest online marketplace for second-hand clothing, is ruling out an initial public offering (IPO) for now as it focuses on expanding beyond fashion, according to Bloomberg.

It's easier to deal with five or six investors than to have to "appease" a large shareholder base, CEO Thomas Plantenga said last week. The Vilnius, Lithuania-based company reached a valuation of 5 billion euros ($5.29 billion) after closing a secondary share sale led by private equity firm TPG last month.

"We're entering new markets and expanding our categories. We're taking a lot of risks. I want to take those bets," Plantenga said in an interview with Bloomberg at the Web Summit in Lisbon.

Vinted wants to expand into other segments of the second-hand market, including phones, toys, game consoles and eventually luxury watches, Plantenga said, adding that at the same time, the company is investing in efficient shipping, payment and product verification services.

"If you look at second-hand trading platforms, they have been around for decades," Plantenga said, noting: "What we are trying to do is create a marketplace that is much larger than anything online, taking into account every cost."

Vinted was co-founded in 2008 by Milda Mitkute and Justas Janauskas. Mitkute was moving and wanted a way to sell her used clothes. That led to the creation of a website where users could exchange clothing items. When Plantenga, who was born in the Netherlands, joined the company in 2016 as a consultant, Vinted was close to bankruptcy. A year later, after becoming CEO, Plantenga streamlined Vinted's operations, closed several European offices and centralised technology, paving the way for it to become Lithuania's first unicorn - a startup valued at over $1 billion. In 2023, Vinted turned an annual profit for the first time, with sales rising 61% to a record euro596.3 million.

Plantenga, 41, expects Vinted to remain profitable this year and into 2025. For now, Vinted is not interested in being acquired, according to Plantenga.