Case Study


Business overview

  • NA-KD was founded in 2015 and is a global fashion online retailer based in Gothenburg, Sweden. The company mainly targets generation Y and Z with high focus on paid social and influencer marketing

  • The founder, Jarno Vanhatapio, previously founded, another leading online fashion retailer

  • In NA-KD, eEquity recognised a driven and target-oriented founder and team having achieved outstanding traction with key customer cohorts and a sophisticated approach towards fast-fashion with a modern ESG-rooted focus. Despite high competition, eEquity was able to secure the deal due to industry credibility, proven track-record and our entrepreneurial approach

  • The company is deemed well-positioned to both drive and ride on the migration from offline to online and to disrupt the fast fashion business model to focus on reusable fabrics, selling pro-owned items and to continue to build the brand though paid social and influencer marketing globally. NA-KD is selling in 80 countries every month

  • eEquity invested in Jan 2017 with SEK 158 million in sales compared to 2 billion in 2020. In Q3’21, NA-KD grew LTM revenues by 26%, with a (5%) LTM EBITDA margin

How we have built the company and enhanced the value

  • Moved from retailing other brands to selling nearly only private label

  • Continue the strong brand building through use of social media, high volume of influencers and PR

  • Localise the site in countries where demand is high, to enable paid marketing and SEO in own language

  • Larger focus on social merchant collections, learning from early mistakes by being better at analysing follower base loyalty and purchasing power
  • Data driven purchasing and inventory management to optimise supply after demand

  • Move of warehouse to continental Europe to enable faster delivery globally as well as constantly evaluating further warehouse locations and automation to when demand is large enough to support cost

  • Define the business processes and ensure sufficient IT support and establish a more proactive finance

  • Strengthen team with key recruitments

Many of our investment criteria were met when we invested in NA-KD:

Historic sales development

Sales developments (SEKm)

Key strategic initiatives and value creation

Group 10

Organisation has been built from 25 to 250 people comprising 40 nationaliaties with a fully-fledged senior management team

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Data-driven purchasing and strategic inventory management to optimise supply after demand with “Product Coverage Ratio” implemented. 20,000 new products are designed yearly. New fully automated Autostore warehouse in Landskrona

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ESG initiatives, including ESG reporting and recyclable materials - to be climate neutral by 2025. Large successful effort in selling pre-owned items

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Continued strong brand-building through social media channels and high focus on influencers. Data driven marketing based on incrementality with new attribution models

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Redesigning business processes and microprocesses based on simplicity, scalability, automation and incrementality. Implementation of data warehousing and BI team.

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Since eEquity’s first investment, NA-KD has grown >13x