Highsnobiety, the online magazine focused on high-end streetwear, has hired investment bank LionTree to weigh in on a sale following interest from potential suitors, two people familiar with the situation told the DealBook newsletter.
The company expects to generate approximately $60 million in revenue this year and could see interest from media brands or online retailers lured by the increasing convergence of retail and media.
Highsnobiety, which describes itself as ‘at the forefront of youth culture’, is keeping an eye on it the latest sneaker drops and commentary on the fashion of the day. As the lines between media, entertainment and retail blur, sites like Highsnobiety, Goop, Glossier and others serve as curated, shopable online magazines. Highsnobiety has also moved beyond digital media and established its own collection and pop-up stores.
Online luxury has become a hotbed of deal activity, with sites that can mimic a premium shopping experience (which Amazon can’t) turn into big bucks. Yoox merged with Net-a-Porter in 2015, a deal inspired in part by Net-a-Porter’s editorial capabilities. Ssense, an online retailer of emerging and streetwear brands, raised funds this year from Sequoia Capital at a valuation of over $4 billion.
Streetwear has conquered a place in the luxury industry. Brands like Supreme, Yeezy and Off-White have garnered passionate, affluent followers, while traditional luxury purveyors like Celine have designed collections honor the street. High-end sneakers can now sell for over $1,000 as trading sites like StockX and Goat have brought in millions from investors to expand their sneaker marketplaces, whose customers treat shoes as a form of currency.