Strathberry Secures Minority Investment at £100 Million Valuation as It Targets International Expansion

Scottish luxury leather-goods brand Strathberry has secured a new minority investment from Soho Square Capital in a deal valuing the business at approximately £100 million ($135 million). The investment comes as the 13-year-old brand prepares for its next phase of international expansion, with North America emerging as a key growth market.

The transaction also marks a change in Strathberry’s institutional investor base. Existing investor BGF is exiting its position, while founders Guy and Leeanne Hundleby will retain control of the business.

What Happened?

According to an exclusive report by Business of Fashion – Strathberry Nabs Minority Investment as It Eyes International Expansion, Soho Square Capital has taken a minority stake in Strathberry at a valuation of approximately £100 million.

The amount invested and the precise size of the minority stake have not been disclosed. The deal comes as Strathberry looks to cross the $100 million revenue threshold, with BoF reporting that the company expects to generate approximately £70 million ($94.6 million) in annual revenue in calendar year 2026, a 39 percent increase from 2025. 

The investment is Soho Square Capital’s first from its Partnership Capital Fund II. The firm says the funding will support Strathberry’s next phase of global expansion, particularly in North America, alongside a rollout of new stores and continued investment in the brand. Its announcement also confirms that founders Guy and Leeanne Hundleby will retain control of the company.

The transaction also marks the exit of BGF, which invested £8 million in Strathberry in 2022. During BGF’s investment period, Strathberry’s revenue increased more than fivefold, reaching £50 million for the financial year ended April 2026 (FY26), while its international reach expanded to more than 100 countries.

Strathberry’s International Expansion Plans

Retail expansion is central to Strathberry’s next phase.

The brand currently operates four stores across London and Edinburgh and plans to open its first international store in New York in early 2027, according to Strathberry/Soho Square Capital. It is also planning another London location. 

North America is already Strathberry’s largest market globally, making it a natural focus for the company’s next stage of physical expansion. Beyond the UK and North America, the brand continues to see demand across APAC and GCC markets, as well as newer markets including Australia and Germany.

Strathberry’s financial performance has also been supported by international growth. TheIndustry.fashion – Strathberry Secures New Investment to Accelerate International Expansion reports that the company generated £36.4 million in revenue for the year ended April 2025, up 35 percent year on year. International expansion was cited as a key contributor, including a tenfold increase in its Japanese wholesale business.

The company subsequently indicated that it was on track to reach £50 million in revenue for the year ended April 2026.

Key Highlights

Development	What Happened
Company	Strathberry
Founded	2013
New investor	Soho Square Capital
Investment	Minority stake; amount undisclosed
Valuation	Approximately £100 million
Existing investor exiting	BGF
FY26 revenue	£50 million for the financial year ended April 2026
2026 calendar-year revenue expectation	Approximately £70 million, according to BoF
Current stores	Four in the UK
Planned international store	New York, early 2027
Primary expansion focus	North America
International reach	More than 100 countries

Why This Matters for Fashion & D2C

Strathberry’s funding round highlights an important route for independent fashion brands: using external capital to scale an established business while allowing founders to retain control.

The company is no longer at an early experimental stage. It has an established handbag proposition, international customer base, digital sales infrastructure and physical retail presence. The new investment is therefore aimed at scaling an existing brand rather than building one from scratch.

That distinction is relevant for D2C fashion businesses. Once a brand has demonstrated demand through digital channels, the next question becomes where additional capital can create the greatest commercial impact.

For Strathberry, the answer includes physical retail and international brand-building. A New York store can give the company a physical presence in its largest market while creating another channel through which customers can experience the brand.

The company is also maintaining a relatively focused category strategy. Its core business remains luxury leather goods, with accessories complementing the handbag proposition rather than representing a wholesale move into unrelated categories.

What Strathberry’s Funding Means for Fashion Brands

Strathberry’s latest investment offers a useful example of how an independent fashion company can approach its next growth phase.

First, international demand can become a foundation for physical expansion. North America is already the company’s largest market, making the planned New York store an extension of an existing customer base rather than an entirely new market experiment.

Second, retail expansion can be selective. Instead of pursuing a large global store rollout immediately, Strathberry is beginning with New York while continuing to strengthen its UK presence.

Third, category focus can remain part of the growth strategy. The brand continues to build around handbags and complementary accessories rather than using the new capital primarily for unrelated category diversification.

This approach also reflects a broader shift in fashion investment. The Vogue Business Funding Tracker shows how investors continue to track fashion businesses around factors such as growth, direct-to-consumer models, brand strength and access to scalable markets.

For D2C founders, the broader takeaway is that scaling does not necessarily mean expanding in every direction. A brand can instead deepen its presence in a proven category, strengthen international distribution and use physical retail selectively where customer demand already exists.

What Strathberry’s Expansion Signals for Luxury D2C

Digital demand can inform physical expansion. Strathberry already ships to more than 100 countries, while North America has become its largest market. The planned New York store therefore builds on an established international customer base.

International growth can precede large-scale retail rollout. The company is using a targeted physical expansion strategy, beginning with New York while continuing to strengthen its UK presence.

Focused category positioning can remain part of the scaling strategy. Strathberry continues to centre its business on handbags and complementary accessories rather than using new investment primarily for unrelated category diversification. 

About Strathberry

Founded in Edinburgh in 2013 by husband-and-wife team Guy and Leeanne Hundleby, Strathberry is a Scottish luxury leather-goods brand known for its structured handbags and distinctive metal bar closure.

The company designs its collections in Scotland and produces its leather goods in Spain. It operates a digitally led direct-to-consumer model alongside its own stores and selected wholesale partners.

With Soho Square Capital now joining the business as a minority investor, Strathberry enters its next phase with a focus on North American expansion, new retail locations and continued investment in brand building.

Sources Used

1. Business of Fashion – Strathberry Nabs Minority Investment as It Eyes International Expansion
2. Soho Square Capital – Soho Square Capital Backs Strathberry
3. TheIndustry.fashion – Strathberry Secures New Investment to Accelerate International Expansion
4. BGF – Strathberry investment and exit coverage
5. Vogue Business – The Vogue Business Funding Tracker