Montréal, September 4, 2014 – Jacques Daoust, Minister of the Economy, Innovation and Exports, announced today that Investissement Québec has acquired a US$2-million stake in Frank & Oak, an e-commerce company that specializes in the design, creation and retailing of menswear.
The company’s Series B round of financing raised a total of US$15 million and is intended to strengthen the Frank & Oak brand in foreign markets. Long-term partners like Rho Canada Ventures, Real Ventures and Lightbank participated alongside new investors such as Investissement Québec, Goodwater Capital and Greenoaks Capital. The company is expected to create nearly 50 new jobs in Montréal over the next two years.
“Frank & Oak’s success is proof that Québec has the talent, financial resources and entrepreneurial spirit to develop forward-looking businesses whose reach extends far beyond our borders,” asserted Minister Daoust.
“Our entrepreneurial community is very active, giving Québec a strategic position in the investment world,” stated Yves Lafrance, Acting President and CEO of Investissement Québec. “This is Investissement Québec’s first transaction under its new small-cap investment strategy for businesses seeking less than $5 million in funding.”
Founded in 2012, Frank & Oak brings together fashion and technology to offer clients a digital shopping experience through its online store, mobile app and the Atelier, a multifunctional space where members can drop by to meet each other and the people behind the brand. Frank & Oak designs all its monthly collections at its premises in Montréal’s Mile End district. The company also has some 110 employees working out of its head office.
In the words of President and Co-Founder Ethan Song, “Frank & Oak is not just a brand that resonates strongly with the community: it’s a unique lifestyle that has been adopted by over 1.5 million members across North America. I’m delighted to see the Frank & Oak family gain a high-profile investor like Investissement Québec, a leading player in funding innovative Québec businesses. This new financing round will enable us to open an office in New York City and optimize our multiplatform experience so we can acquire potential members faster and take the business to the next level.”
About Frank & Oak
Frank & Oak, a men’s clothing brand designed for the creative generation, provides quality designs, personalized services and a multiplatform experience where content and technology intersect. The vertically integrated company designs and manufactures premium clothing and accessories and sells them directly from its website, at http://www.frankandoak.com/ .
About Investissement Québec
Investissement Québec’s mission is to foster the growth of investment in Québec, thereby contributing to economic development and job creation in every region. The Corporation offers businesses a full range of financial solutions, including loans, loan guarantees and equity investments, to support them at all stages of their development. It is also responsible for administering tax measures and prospecting for foreign investment.
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Office of the Minister of the Economy, Innovation and Exports
Tel.: 418 691-5650
Public Relations Specialist
Frank & Oak
1 866 870-0437