Gen Phoenix Secures $15M Investment Round as Tapestry Expands Strategic Partnership with Supply Agreement

Rhea-AI Summary

Tapestry (NYSE:TPR) has significantly expanded its partnership with Gen Phoenix through a new three-year supply agreement and increased investment as part of Gen Phoenix's $15 million Series funding round led by Material Impact. Tapestry has increased its equity stake in Gen Phoenix to 9.9%, nearly quadrupling its initial 2023 investment.

The partnership aims to scale sustainable recycled leather fiber materials across Tapestry's luxury brands including Coach, Kate Spade, and Stuart Weitzman. Gen Phoenix will use the funding to expand into new markets, scale production at its UK facility with 60+ million ft² annual capacity, and accelerate R&D for its circular leather solution.

Positive

• Strategic partnership secures exclusive supply agreement for next-generation sustainable materials
• Tapestry quadruples equity stake to 9.9%, demonstrating strong confidence in Gen Phoenix
• Gen Phoenix facility has significant production capacity of 60+ million ft² annually
• Partnership provides Tapestry with supply chain resilience and alignment with sustainability goals
• $15M funding enables expansion into new categories and global markets

Negative

• Significant capital investment required for scaling production infrastructure
• Dependency on single strategic partner (Tapestry) for significant portion of business

PETERBOROUGH, England, July 15, 2025 /PRNewswire/ -- Gen Phoenix, a leading sustainable recycled leather fiber material manufacturer at scale, today announced a new chapter in its ongoing partnership with Tapestry, Inc. (NYSE: TPR)—the house of iconic brands including Coach, Kate Spade, and Stuart Weitzman. The partnership includes a three-year, contracted supply agreement, along with an increased investment from Tapestry as part of Gen Phoenix's $15 million Series round led by venture capital firm, Material Impact. As part of the round, Tapestry has increased its equity stake in Gen Phoenix to 9.9%, nearly quadrupling its initial 2023 investment.

This multi-faceted partnership solidifies Gen Phoenix's role as a core material innovation partner to Tapestry brands, enabling access next-generation materials at unprecedented scale and consistency.

"This expanded partnership marks a major milestone—not just for Gen Phoenix, but for the future of sustainable materials," said John Kennedy, CEO of Gen Phoenix. "Together with Tapestry, we're proving that circular innovation can meet the demands of global brands without compromise. It's a powerful example of what happens when you combine material innovation, leather heritage, shared values, and a commitment to scale."

A Partnership Built for Scale, Resilience, and Impact
The partnership between Gen Phoenix and Tapestry—first initiated in 2022—has evolved far beyond a typical vendor relationship, serving as a blueprint for how brands and material innovators can co-create sustainable solutions. The two companies have worked side-by-side—sharing R&D access, factory floors, and design insight—to engineer a material that honors the heritage of leather Tapestry brands are known for while extending its life through circular transformation.

"This investment reflects our belief in the power of innovation to drive both purpose and profit. Gen Phoenix's platform enables circularity at scale—delivering high-quality materials that meet the style, performance, and impact expectations of today's consumer," said Scott Roe, Tapestry Chief Financial Officer and Chief Operating Officer. "As global leader in quality leather goods, we see significant opportunity to be a catalyst of next-generation materials that are consistent with our heritage of craftsmanship. This partnership reinforces our commitment to leading the fashion industry in sustainable innovation and ensuring a resilient, future-ready supply chain."

Fueling the Future of Circular Materials with New Funding
Tapestry's latest investment advances both companies' sustainability and business goals:

• For Tapestry, it delivers supply chain resilience, quality performance, and alignment with next- gen consumers' values.
• For Gen Phoenix, the collaboration further validates the scalability and commercial potential of its material platform—proving it can meet the three key criteria that matter most to leading brands: price, performance, and planet. In other words, delivering sustainability without compromising on price or quality.

Through Gen Phoenix's $15 million investment round, the company will be enabled to:

• Expand into new categories and global markets.
• Scale its production infrastructure at its U.K. facility, which has capacity for 60+ million ft² annually.
• Accelerate R&D and commercialization of its fully circular leather solution that integrates post-consumer and end-of-life waste.

As luxury retail brands increasingly embrace a trend Gen Phoenix calls 'luxcycling' – the use of innovative materials and proprietary manufacturing processes to extend the lifespan of luxury fashion and accessories products while maintaining the heritage and quality standards – this expanded partnership underscores how Gen Phoenix and Tapestry continue to pave the way in circular leather innovation for an industry-wide transformation toward sustainable luxury materials.

About Gen Phoenix
Gen Phoenix is delivering a new generation of materials for the next era of sustainability. Through a revolutionary circular process, Gen Phoenix rescues leather offcuts destined for landfill and regenerates them into a premium recycled leather material coveted by the world's most iconic brands for its beauty and durability. Since 2007, Gen Phoenix has diverted thousands of tonnes of material from landfills. Adaptable to a wide variety of feedstocks, Gen Phoenix's patented technology platform will make material circularity possible at scale. Today, Gen Phoenix materials are trusted across mass transportation seating, leather goods, footwear, and automotive, setting a new standard for circular materials in industries that demand both performance and purpose. Visit www.genphoenix.com to learn more.

About Tapestry, Inc.
Tapestry, Inc. is a global house of brands uniting the magic of Coach, Kate Spade New York and Stuart Weitzman. Each of its brands is unique and independent, yet all share a commitment to craftsmanship, innovation, and sustainability. With a long-standing heritage in leather goods and a future-focused vision, Tapestry is driving the fashion industry forward with responsibility and creativity. Learn more at www.tapestry.com.

For press inquiries, please contact Kylie Peterson at kylie@smallgirlspr.com or Jackie Albano at jalbano@tapestry.com.

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SOURCE Gen Phoenix

FAQ

What is the size of Tapestry's (TPR) investment in Gen Phoenix?

Tapestry increased its equity stake to 9.9% as part of Gen Phoenix's $15 million Series funding round, nearly quadrupling its initial 2023 investment.

How will the Gen Phoenix partnership impact Tapestry's (TPR) sustainability goals?

The partnership provides Tapestry with sustainable recycled leather fiber materials at scale, enhancing supply chain resilience and meeting consumer demand for sustainable luxury products.

What is the production capacity of Gen Phoenix's UK facility?

Gen Phoenix's UK facility has the capacity to produce over 60 million square feet of recycled leather fiber material annually.

How long is Tapestry's (TPR) supply agreement with Gen Phoenix?

Tapestry has signed a three-year contracted supply agreement with Gen Phoenix.

Which Tapestry brands will benefit from the Gen Phoenix partnership?

The partnership will benefit all Tapestry brands, including Coach, Kate Spade, and Stuart Weitzman, providing them with sustainable leather materials.