Coach parent Tapestry increases stake in recycled leather innovator Gen Phoenix
Tapestry Inc., the parent company of Coach, Kate Spade, and Stuart Weitzman, has significantly increased its investment in sustainable materials firm Gen Phoenix, taking its stake to 9.9% as part of a $15 million funding round. The move signals a deepening commitment to lower-impact materials and a continued focus on capturing the attention of environmentally-conscious Gen Z consumers.
The investment, which nearly quadruples Tapestry’s previous holding in Gen Phoenix, was part of a funding round led by venture capital firm Material Impact. The partnership between the two companies dates back to 2022, when they launched the Coachtopia line—Coach’s Gen Z-focused sub-brand featuring products made with at least 50% recycled leather fibers supplied by Gen Phoenix.
While Roe declined to disclose Coachtopia’s contribution to Tapestry’s overall revenue, he emphasized its strategic value. Gen Phoenix claims its materials have up to 80% lower carbon emissions compared to virgin leather, offering a more sustainable alternative for the fashion industry.
Gen Phoenix, which sources leather waste from European tanneries and manufacturing facilities, will continue supplying Tapestry with recycled leather under a three-year agreement. The collaboration has already led to the rapid development of innovative materials, including an uncoated lining that was launched to market in under a year.
