Equity investors on Crowdcube have received their third return in 12 months following the acquisition of disruptive global DIY fashion brand Wool and the Gang by BlueGem Capital Partners. Since 2013, more than £5 million has been returned to investors on Crowdcube following the sale of Camden Town Brewery and E-Car Club, which sold to AB InBev and Europcar respectively, as well bond interest repayments.
London-based Wool and the Gang empowers customers to produce fashion at home with their easy-to-follow, fashion forward knit and crochet kits. Dedicated to great design as well as championing DIY, Wool and the Gang has fuelled a new generation of makers. With products available direct from their online store and in major retailers including John Lewis, Selfridges and Asos, it raised over £1 million on Crowdcube after 492 crowd investors backed the business alongside existing venture capital investors, which includes Index Ventures and MMC Ventures. Investors will receive their initial investment back plus a 5% return or a Wool and the Gang gift voucher, which would give them a 20% return on their investment.
BlueGem Capital, which has also invested in the likes of Liberty London and Mamas & Papas, is committed to further investing in and expanding upon Wool and the Gang as part of the Crafts Group Holding, alongside other craft businesses including DMC, the 270 years old world famous embroidery thread business, which is ripe to explode in the digital era.
Wool and the Gang CEO Lisa Rodwell commented: “We are thrilled to have found a partner in BlueGem and look forward to being part of the Crafts Group Holding, which will enable us to continue our brand mission to innovate in the craft world. The new structure will allow us to grow as a business and launch new innovative yarns, designs and new exciting collaborations while also working alongside the world famous heritage brand - DMC.”
Other crowdfunding exits included:
- E-Car Club was the world’s first crowdfunded company to provide investors with a multiple return on their investment to the 63 investors who helped the UK’s first entirely electric car sharing club for businesses and communities, to raise £100,000 in 2013 following the sale of the business to Europcar, Europe’s leading car rental and mobility company.
- Camden Town Brewery was sold to AB InBev in December 2015. It has raised £2.75 million from 2,172 investors, overfunding its £1.5 million target by 183%. Investors shared 5.37% equity in the famous London brewer of Camden Lager valued at £50 million. The largest investment was £150,000.
The acquisition of Wool and the Gang, our third funded business in 12 months to deliver investors a return, is yet another indication of how the crowdfunding industry is maturing and the diversity of returns that crowd investors could receive.
All investors in Wool and the Gang have been contacted both directly by the business and by the Nominee - WCS; however if you have any questions please don’t hesitate to contact [email protected].