ZURICH, Nov 23, Reuters -- Luxury watch marketplace WatchBox raised $165 million of equity capital in a round of funding to expand its global expansion, it said on Tuesday.
The Radcliff Companies and The Spruce House Partnership were lead investors and were joined together with other existing investors by CMIA Capital Partners.
WatchBox, founded in 2017, said it will use capital to expand its digital platform and expand its holdings in new locations in the United States and internationally while enhancing its inventory.
Justin Reis, co-founder and CEO of WatchBox, told Reuters that sales are up 40% year over year and that they are on target to reach $300 million in sales this year.
He said that sales had gone up in all markets where WatchBox is present, from the United States to Hong Kong, Singapore, Switzerland and Dubai.
A. Lange Sohne, Audemars Piguet and Rolex continue to perform well alongside leading independent brands, according to Reis, which demand was soft in more widely distributed mid-tier brands due to excess supply in the market.
The market for second-hand luxury watches is estimated to be worth $20 billion and is growing faster than the primary market.
A study done last month shows that more than one in three consumers are likely to buy a second-hand watch in the next 12 months, with younger buyers driving the trend, according to a study by Deloitte. Consumers have been buying second-hand watches because of lower prices, access to discontinued models and for investment purposes, according to Deloitte.