American Giant, the clothing maker that is winning the hearts of the Internet generation, just raised $3.6 million of a $2.5 million round.
We reached out to the company for comment on the funding after spotting the filing with the Securities and Exchanges Committee. According to a spokesperson, the company raised over $1 million more than expected.
San Francisco-based American Giant got its big break when Slate columnist Farhad Manjoo called its sweatshirt the “greatest ever.” Or as he would later put it, after the sweatshirt sold out,” I turned down the lights, put on some Barry White, and, over the course of around 2,000 gyrating words, unspooled my sweet, tender love for the company and its clothes.”
In the wake of all the press attention, orders flooded in for the hoodie. The young company could barely keep up with the demand. Chief executive Bayard Winthrop reported that everything was gone in less than 36 hours.
American Giant now sells a line of basic apparel, like slouchy zip hoodies and super soft tees. It has capitalized on its overnight success by marketing its products directly to consumers. It has hacked the traditional supply chain by eliminating the need for physical stores.
Since its 2012 debut, the brand has been growing quickly and is tapping into the “Made in America” nostalgia. All its apparel is manufactured at factories in the United States.
American Giant has already raised $5 million in funding in 2011, led by Donald Kendall, the former chairman and CEO of Pepsi Co. Kendall is listed on the SEC filing alongside Winthrop, which suggests that he has opted to lead this current round.