The company that makes vegan leather for Stella McCartney and adidas is going out of business

The Californian company Mylo, a producer of plant-fibre fabrics that in the past has collaborated with Stella McCartney, Kering and adidas, is going bankrupt. This was announced by the CEO of Bolt Threads - the start-up from which Mylo was born - Dan Widmaier. According to him, the textile company had reached a crucial point in its development but, just before its commercial debut, inflation and a drop in fundings forced it to stop. This year Bolt Threads faced two rounds of layoffs, one for each quarter, although, as Widmaier explained to Vogue Business, the company does not want to give up. «Humanity needs a more sustainable future, and fashion plays a huge role in that. My hope is to solve this problem for the good of everyone on the planet, which is why all options are on the table.»

In recent years, numerous brands and luxury groups have invested in alternative vegan and sustainable leather production. Mylo, one of the most widely used in the industry, used mycelium, a derivative of mushroom roots. The material offers the same durability, practicality and feel as animal leather, while saving energy, water and other resources. Besides Stella McCartney, Kering, and adidas, other customers have included Lululemon, Ganni, and Mercedes. According to Widmaier, the companies that were financing Mylo's work have lately lost interest. «Over the last 18 months, fundraising has been a challenge for the whole industry. Those who have managed to raise funds are mostly involved in AI.»