Retraced raises €15M to boost fashion sustainability
Retraced raises €15M to boost fashion sustainability
Retraced, a German platform dedicated to enhancing supply chain sustainability in the apparel industry, has successfully raised €15 million in a Series A funding round. This funding round, led by Partech, a major tech investment platform in Europe, also saw participation from previous investors including Alante Capital, Alstin Capital, Samaipata, and F-Log Ventures. The fresh capital is set to accelerate Retraced’s mission to improve transparency and efficiency in supply chain management. By leveraging artificial intelligence, the platform aims to provide more detailed visibility into supplier risk audits and offer data-driven recommendations for compliance with European and international sustainability regulations. This investment will also support the expansion of Retraced’s global footprint, enhancing its capacity to serve over 150 brands, including high-profile names such as Desigual, Victoria’s Secret, and Pangaia. Currently, Retraced assesses the sustainability practices of nearly 15,000 suppliers worldwide. The fashion industry, which accounts for nearly 10 percent of global carbon emissions—more than aviation and shipping combined—is under increasing scrutiny for its impact on the environment.
The European Commission (EC) has identified textiles as the fourth most influential factor in climate change and environmental degradation. In response, the EU has introduced regulations to better manage seed waste and hold producers responsible for the entire life cycle of seed products. Despite these efforts, only 22% of post-consumer textile waste is currently collected for reuse or recycling, with the remainder being landfilled or incinerated. Retraced’s platform is designed to address these challenges by enabling brands to assess and improve the sustainability of their supply chains. The platform’s features include tools for evaluating supplier practices and a European Digital Product Passport (DPP) that helps consumers understand the sustainability of the products they purchase. Commenting on the investment, Simone Riva, Senior Principal at Partech, expressed enthusiasm about partnering with Retraced, highlighting their critical role in improving supply chain transparency within the fashion industry. Alexander Meyer-Scharenberg from Alstin Capital also voiced excitement about Retraced’s progress and anticipated growth, particularly with the upcoming EU Supply Chain Directive (CSDDD) that imposes penalties on companies failing to address adverse environmental and human rights impacts. Retraced CEO Lukas Pünder emphasized that this funding represents a crucial moment for the company. As regulatory requirements become more complex, Retraced is positioned to help fashion brands achieve their sustainability goals and build strong relationships with suppliers and customers.