Detroit’s StockX, the world’s first stock market of things, has closed on a $110 million Series C funding round. The company plans to use the new investment to expand its international growth with a specific focus on European and Asian markets.
DST Global, General Atlantic, and GGV Capital invested. The company also announced the appointment of Scott Cutler as CEO. Cutler succeeds co-founder Josh Luber, who will continue to serve on the executive leadership team and board of directors.
The company surpassed a $1 billion annual gross merchandise volume run rate in less than three years. It has customers in nearly 200 countries and millions of active users.
The funding also will allow the brand to diversify its product categories and extend its offline reach with brick-and-mortar locations in key international markets. The first of its kind bid/ask marketplace will focus on product development and will continue to collaborate with some of the world’s foremost brands to release products directly on the StockX platform.
“GGV Capital has long seen the value of investing in e-commerce disruptors, and StockX is no exception. It is more than a marketplace; the platform’s unique model is truly changing the way consumers engage in the purchasing process and has global growth potential,” says Hans Tung, managing partner at GGV Capital, who also joined StockX’s board of directors as part of the transaction.
“StockX has already seen incredible growth internationally, but what we are most excited about is the opportunity to continue to scale the company globally and provide unprecedented access to consumer goods for users across the world.”
Cutler assumes his role immediately and joins the company from eBay Inc., where he was senior vice president of the Americas. From 2015-2017, the longtime technology executive was president of StubHub, a ticket marketplace, where he oversaw global expansion and strategic partnerships with professional sports leagues, teams, and artists.
He was also an executive vice president at the New York Stock Exchange, where he oversaw more than $1 trillion in capital market financings and led some of the largest technology initial public offerings, including LinkedIn, Twitter, and Alibaba. Cutler also will join StockX’s board.
“Scott and I met just two days after StockX went live,” says Luber. “His extraordinary background mirrors the unique business model we have built at StockX. He understood the power of a stock market of things and quickly became a friend and trusted advisor. Over the three years that followed, as the business scaled rapidly, Greg (Schwartz, StockX co-founder and COO) and I had the idea that Scott might one day be the perfect CEO to take us to the next level. Then the stars aligned – the growth continued, we added three world-class investors to our team, and Scott became available. We weren’t looking for a new CEO, but this was a no-brainer.”
StockX was co-founded in February 2016 by Luber, Schwartz, and Dan Gilbert, founder and chairman of Quicken Loans and chairman of the Cleveland Cavaliers. It started as a sneaker stock market to include streetwear, watches, handbags, and collectibles. The company does millions of dollars in transactions daily and moves thousands of products through its four authentication centers across the U.S. and Europe, which will soon house a fifth location outside of Amsterdam. The team now includes more than 800 full- and part-time team members.
“I have known the company and the management team since the beginning and have been impressed by its unique market model in e-commerce and dramatic growth. StockX is revolutionizing e-commerce,” says Cutler. “That is why the company is one of the fastest growing technology companies in the world with a rapidly expanding global user base comprised of passionate enthusiasts; it is what sets StockX apart and why I welcome the opportunity to lead the team as we look to what’s next – extending the reach of the platform and broadening its offering to provide more users with access to an authentic, transparent, anonymous marketplace.”
StockX announced a Series B funding round co-led by GV and Battery Ventures in September 2018. The $44 million investment allowed the company to expand to Europe and increase its worldwide user access to the platform.