Parade, the buzzy, Gen-Z-founded intimates start-up, announced on Tuesday that it is set to be acquired by Ariela & Associates International, which owns the licence to Fruit of the Looms’ bra line. Terms of the deal were not disclosed.

Parade will use its new parent company’s resources, including design and forecasting, to further sales growth and expand internationally.

The deal is the latest in a series of exits for DTC intimates start-ups in the past year. With the venture capital market more stringent than ever, more brands are selling to strategics to leverage their operations. Millennial-leaning lingerie brand Adore Me was acquired by Victoria’s Secret in November 2022 for $400 million. In July, Cuup, the intimates brand that offers an extended size range, sold to FullBeauty Brands, which also acquired size-inclusive apparel start-up Eloquii from Walmart this year.

Founded in 2019 by Cami Téllez, a then 21-year-old, Parade has captured Gen-Z consumers with its brightly-hued product and gender-inclusive, community-oriented marketing strategy. The brand has released product lines targeted at trans and non-binary customers. In lieu of overspending on Facebook and Instagram ads, Parade has leaned on its more than 75,000 ambassadors to entice new customers and provide feedback on product development.

The company, which entered physical retail through partnerships with Urban Outfitters in 2022 and Target in 2023, previously told BoF it is on pace to generate around $75 million in sales this year. Tellez told WWD last August the brand had reached a $200 million valuation with its latest fundraise.

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