Niket Nishant

(Reuters) -Fashion brand Rent the Runway has been valued at $1.7 Billion on Wednesday after shares were opened almost 10% higher than their initial public offer price. This is the most consumer-facing company to make its debut in the United States.

Women can rent or shop for secondhand clothing and accessories from over 750 designers on the company site.

Hybrid-working is a way to eliminate the necessity of updating wardrobes for those who work in offices. Consumers are conscious about reducing waste and clothing.

From $88 million last year, the company has seen a strong demand for their apparel rental models. Its net loss was $84.7million in six months ending July 31.

Jennifer Hyman, Chief Executive and co-founder of Rent the Runway, stated that women didn’t need to go back to work to rent the runway.

Hyman noted that changes to subscription plans in order to personalize them have also resulted in higher loyalty and better margins.

Rent the Runway, which was established in 2009 is backed affiliates from Bain Capital Ventures & Ares Management (NYSE 🙂 Corp. Oscar-winning actress Gwyneth Palatrow serves on the Board and the company has set up a panel for its ESG Strategy oversight.

Many consumer-facing companies, including Warby Parker’s eyewear and Roger Federer-backed Shoemaker On Holding AG, have seen strong market debuts in recent months.

Rent the Runway, a Brooklyn-based company that offers rental services in New York City opened its shares at $23. This is an increase of the initial price of $21 per share. In its largest share sale to date, it sold 17 million shares and raised $357 million.

Goldman Sachs & Co (NYSE:), Morgan Stanley (NYSE: Barclays Capital and (LON) Capital are the main underwriters.