Castore, the British sportswear brand endorsed by British tennis player Sir Andy Murray and featured in numerous Premier League football kits, has achieved an impressive valuation of nearly £1 billion following a substantial investment from a group of new backers, including the US-based merchant bank Raine Group, known for its involvement in the sale of a minority stake in Manchester United Football Club.
The deal, set to be officially announced on Thursday, marks a significant milestone for Castore, one of the fastest-growing start-ups in the UK over the past decade. Founded in 2016 by brothers Phil and Tom Beahon, the Liverpool-based company has established partnerships with leading sports teams globally, including McLaren and Red Bull Racing in Formula One, the England Test cricket team, and Premier League clubs such as Aston Villa, Newcastle United, and Wolverhampton Wanderers.
While Castore faced challenges earlier this year concerning the quality of some products, the company swiftly addressed the issues. The new capital injection, totaling £150 million, will be dedicated to expanding the supply chain, enhancing marketing efforts, and extending global reach, according to sources.
Sir Andy Murray, a shareholder in Castore since 2019, praised the brand for offering a unique and well-designed alternative to established competitors. The three-time Grand Slam winner emphasized Castore's appeal as a young and exciting brand.
Despite a challenging economic climate for such deals, Castore's fundraising is remarkable, especially considering the company's reported valuation of £750 million after a debt financing round last year. The brand, positioning itself as a high-quality alternative to giants like Adidas and Puma, primarily sells its products online.
Speculation about a potential medium-term stock market flotation has surrounded Castore's expansion plans. Notable existing shareholders include the billionaire Issa brothers, owners of Asda and EG Group, as well as the founders of Pure Gym and New Look. Castore, however, declined to comment on the recent investment and its future plans.