American singer-turned-entrepreneur Robyn Rihanna Fenty, better known as Rihanna, is reportedly working with advisors on an initial public offering that could value her Savage X Fenty lingerie company at over $3 billion, according to Bloomberg sources.
The clothing brand is currently working with banks including Goldman Sachs (NYSE: GS) and Morgan Stanley (NYSE: MS), people familiar with the matter told Bloomberg, with a possible listing ready as soon as this year.
Savage X Fenty previously raised $125 million in a funding round back in January led by Neuberger Berman. The company has also received investments from L. Catterton, Avenir Growth Capital, Sunley House Capital Management and Marcy Venture Partners (founded by American rapper and music producer Jay Z), according to data provider Pitchbook, Bloomberg reported. Forbes estimates that Rihanna has maintained a 30% ownership stake in the brand, which has in turn helped her rake in the bulk of her estimated $1.7 billion fortune.
Rihanna's--who rose to fame for producing a series of hit albums and Billboard charting singles after signing with Def Jam records in 2005--Savage X Fenty brand was founded to provide lingerie and other intimates products to customers who were often overlooked by traditional brands, with the brand boasting a wide range of sizes from extra small to 4XL.
Rihanna also founded a beauty line, Fenty Beauty, in a 50-50 joint venture with French luxury goods conglomerate LVMH (NYSE: LVMH), with the brand strives for inclusivity in an industry that was surprisingly lacking. For example, the make-up brand offers over 50 different shades of foundation, well beyond the normal range of about 10 shades, with emphasis on harder-to-find shades for darker complexions. This brand, worth about $2.8 billion by Forbes estimates, is available both online and at Sephora stores.
Savage X Fenty is primarily sells products through its direct-to-consumer online platform and offers both men's and women's fashion. The brand also has five brick-and-mortar locations across the United States.