eBay Invests $300K in Refiberd to Propel Circular Fashion Solutions

On April 9, 2025, eBay Inc. announced a strategic investment of $300,000 in Refiberd, a company focused on innovative recycling solutions for the fashion industry. This move is part of eBay's ongoing commitment to sustainability through its Circular Fashion Fund program, which aims to foster startups that contribute to scalable circular solutions in the fashion sector.

Refiberd was recognized as the winner of eBay's prestigious Circular Fashion Innovator of the Year Award, an accolade that highlights their groundbreaking work in textile recycling. The award was part of an initiative that saw 12 shortlisted businesses from the UK, US, Germany, and Australia being celebrated for their contributions to a more sustainable fashion industry.

The funding provided by eBay will bolster Refiberd’s advanced AI system, which is designed to accurately identify fabric compositions. This technology can be integrated into existing recycling infrastructures, enabling the efficient sorting and processing of textile waste into new, usable fibers. By tackling the significant challenge of waste sorting in the fashion industry, Refiberd aims to promote true circularity in fashion.

Since its launch in 2022, eBay's Circular Fashion Fund has supported 27 businesses and plans to invest a total of $1.2 million by the end of 2025. Alongside financial support, the fund has provided over 200 hours of mentoring and upskilling from industry experts, aiming to empower startups in the circular fashion space. Collaborations with leading fashion councils, including the British Fashion Council (BFC), Council of Fashion Designers of America (CFDA), Fashion Council Germany (FCG), and the Australian Fashion Council (AFC), offer recipients invaluable insights and access to vital industry networks.

With the increasing interest in sustainable practices, particularly among younger consumers, eBay's investment comes at a pivotal time. Recent surveys indicate that 66% of Generation Z consumers place growing importance on purchasing pre-loved fashion items, making the Circular Fashion Fund an essential part of eBay's strategy to lead in the sustainable marketplace.

Sarika Bajaj, co-founder and CEO of Refiberd and the recipient of the Circular Fashion Innovator of the Year Award, expressed her gratitude for the support: "We're honored to win eBay's first Circular Fashion Innovator of the Year Award. The investment from eBay Ventures will help us close a significant round of fundraising for the business, allowing us to expand our technology to new recycling partners, strengthen our AI capabilities, and move faster toward our mission of enabling true textile-to-textile recycling."

Alexis Hoopes, VP Global Head of Fashion at eBay, emphasized the importance of the moment: "As the pioneering secondary marketplace, eBay has been driving circularity in fashion since its inception 30 years ago. It’s a critical time for the fashion industry, and eBay's Circular Fashion Fund—and the eBay platform at-large—are propelling the industry forward, enabling innovative ideas to help shape brand and consumer behaviors."

The competition recognized several promising startups, including:

Each finalist received grants starting at $50,000 in their local currencies, providing them with essential funding to drive their initiatives forward.

eBay's investment in Refiberd is a clear indication of the company's commitment to sustainability and its role as a leader in the circular fashion movement. As the fashion industry continues to evolve, eBay is well-positioned to support innovative solutions that promote sustainability, making pre-loved fashion not just a trend, but a viable and desirable alternative for consumers worldwide.