Singapore-based online clothing rental platform Style Theory has shut down amid rising operating costs and the exit of its key investors.

Founded in 2016, Style Theory operates as an online subscription-based rental platform, offering designer clothing and fashion accessories through its app at $89 to $149 a month.

The company announced on its website that its subscription service had closed as of September 30, with all rental, delivery, membership, support and other services discontinued. Unused points would not be refunded, and customers may hold on to any rented apparel pieces until further notice.

Consignors who are owed amounts will be treated as creditors, as the firm will be placed into liquidation.

The company said the current economic climate has made it “increasingly difficult” for it to sustain operations. It cited rising costs and “unexpected changes” beyond control – including the withdrawal of key investors – as the primary causes.

Style Theory was backed by investors like Alpha JWC Ventures, Quest Ventures, The Paradise Group, and SoftBank Ventures Asia, reported Tech in Asia.

“This was not a decision made lightly. When we started Style Theory, our mission was simple yet ambitious – to make fashion more sustainable, accessible, and circular,” the founder wrote in the message.

“We know this announcement may come as a shock. We are deeply sorry for the suddenness of this news and for any disappointment it brings. Please know we explored every possible alternative before arriving at this decision.”

The news came after the closure of Style Theory’s Indonesia operations in June. The company at the time said it wanted to focus on building a stronger foundation in Singapore and Hong Kong operations.