The maker of durable tights is temporarily laying off staff as its new CEO leaves.
SRTX founder Katherine Homuth says she has applied to return to the company she left in March as it undergoes a strategic review process that could lead to a sale.
Tights maker Sheertex said in a statement today that it is exploring a “range of options” for its future, including a sale, recapitalization or reorganization. The company said its new CEO Sophie Boulanger joined in Septemberalso resigns. Boulanger's departure was a “personal decision” after leading the company through a “transition period and operational evolution,” SRTX spokeswoman Eva Hartling said.
“Ultimately, my goal hasn’t changed since the day I started.”
Katherine Homuth
As part of the review, Hartling told BetaKit that about 100 employees were temporarily laid off “in accordance with ongoing operational needs.” Before the temporary layoff, SRTX employed about 200 people. In February before that, the company had about 350 employees. temporary layoffs what led to permanent departure of 92 employees. Hartling added that SRTX expects the strategic review to take two to three months.
In a LinkedIn post titled “Diary Day 1: Return to Sheertex,” Homuth said she has submitted a proposal to SRTX that it hopes can “pave the way for some recovery in operations, sales and brand.” Homuth confirmed to BetaKit that she intends to return as CEO if the offer is accepted. SRTX declined to comment on Homuth's proposal.
“Ultimately, my goal hasn’t changed since the day I started,” Yoke told BetaKit. “I hope Sheertex can find a path forward, operate profitably as an example of advanced manufacturing in Canada, and continue to offer exceptional products to customers.”
Founded in 2017, SRTX produces tear-resistant Sheertex tights, which are made from a unique, durable polymer that is several times stronger than steel wire. Over the past year, the company has struggled with cash shortages, the impact of tariff changes and cross-border duties, and the departure of its CEO and founder. Clamp resigned in March as part of a $40 million fundraising deal from the company's existing investors, including BDC Capital, Investissement Québec, Export Development Canada and H&M Group.
CONNECTED: SRTX Names BonLook Co-Founder Sophie Boulanger as New CEO
The $40 million deal was intended to support operations as SRTX dealt with additional tariffs stemming from U.S. trade policy, including the elimination of minimum tax exemption for inexpensive goods. The company then temporarily laid off about 40 percent of its staff.
“I was hoping the company could get to the bottom of this,” Homuth said in the video. “But I think the announcement that was published today makes it clear that this did not happen.”
Homuth added that she intends to document the process of her eventual return through a daily video diary. After leaving SRTX, Homuth openly announced the creation of his own project. new software development ventureOomira and development set of standards help founders negotiate the terms of their work. Before her departure, Homuth was candid on social media about SRTX's fundraising needs. As part of the fundraising deal, Chomuth and her successor were required to adhere to new social media and communications policies.
Image courtesy of BetaKit Podcast.
