Canadian company Knix Wear raises $53 million while disqualifying investors who questioned CEO's pregnancy

Undergarment company raises almost $500K for PPE Joanna Griffiths, CEO of Knix, and her brother Dr. Christoper Griffiths, speak about their efforts to raise money for PPE.

Toronto — A Toronto CEO has raised $53 million in capital while pregnant with twins, all while refusing to work with any investors who questioned her pregnancy.

After sharing her story, Joanna Griffiths told CTVNews.ca the response from other women entrepreneurs has been "overwhelming." Her posts on Instagram and LinkedIn detailing her experience have received thousands of likes.

"I can't keep up at this point with so many people reaching out and just saying how important it was for them to see this story," Griffiths told CTVNews.ca in a phone interview.

She continued: "Those unspoken rules... that you can't fundraise pregnant, you can't switch jobs while pregnant, you can't get a promotion while pregnant, don't have to apply, and they shouldn't apply."

Griffiths' company Knix Wear, a women's undergarment brand, saw online sales soar during the pandemic, surpassing $100 million in revenue in the last 12 months. As a result, she and her team decided it was the right time to expand the company and take on outside capital.

Griffiths launched Knix in 2013, first developing a period-proof underwear, but has slowly expanded to other protects in the intimates category, while challenging the conventional notions of attractiveness driven by traditional players in the industry like Victoria's Secret.

"There was a very singular view of what sexy was and what attractive was and it was the view that not very many people could relate to. And so, our North Star at Knix has always been to reinvent products and then to redefine what a brand can be within this category and how we communicate with our customers," Griffiths said.

Given these values, it was important for Griffiths to draw this line in the sand, refusing to work with any investors who made negative and disparaging comments about her pregnancy at the time, regardless of how much they were offering.

"Knix, at its core, is so rooted in women's empowerment," Griffiths said. "My viewpoint was if that was the way that they felt about me, then they were never going to understand what Knix was about and what we were trying to accomplish and they sure as hell weren't going to be the right partners for me."

Griffiths continued, "When you're raising money, any amount of money, you know, whether it's $50,000 or it's $50 million. There's a power dynamic around money, and I think that it often makes people who are asking for it, feel powerless, and so by standing up for myself I was reminding myself that."

Knix ended up working with TZP Group, a New York City-based private equity firm, and closed the funding round on March 5, three days before the birth of her twins, all according to plan.

"I just knew that I wanted to (fundraise) before giving birth because I wanted to devote any extra energy that I had post birth (towards) my business and my team," Griffiths said.

With the newly raised capital, Knix has plans to increase the product lineup, open more physical stores and expand on brand storytelling.

"I'm really excited to lean into this momentum of growth and to continue to build the company," said Griffiths.