News

The Development Fund is investing 9.6 million kroons into Massi Miliano OÜ, the developer of a robot model designed for online apparel retailers. The investment made on equal terms with co-investors will pave the way for a test solution to be launched with a leading international online retailer already this summer.

The company set the project in motion two years ago and this summer a test solution will be launched with the first customer, a major international online retailer. The idea to harness the robotic mannequin in the online fashion industry originated from Heikki Haldre, the head of Massi Miliano and the founder of  Netikuller.ee. The robot itself was developed by Alvo Aabloo, Professor of Polymer Materials Technology at the Institute of Technology, University of Tartu, and Maarja Kruusmaa, Professor at the Centre for Biorobotics, Tallinn University of Technology. The patent protection is sought for the technical solution of the robot in the United States and other developed countries.

According to the Development Fund investment expert, Andrus Oks, the computer controlled shape-changing mannequin has the potential to be the key to efficiency and driver of growth in the online apparel retailing industry.

"Customers currently return up to 40% of the garments they have bought online. If from now on the customer can see a shirt or a coat worn by the robotic mannequin in his or her measurements, the return rate will certainly decline and people will be encouraged to buy clothes online more frequently and possibly also more expensive items. The ambition behind the robot application is that customers would be able to say  "it fits me." And it is under the trademark Fits.me that Massi Miliano is going to market the service shape changing mannequin to online retailers," Andrus Oks explained Massi Miliano's plans for the near future.

The robotic mannequin and Massi Miliano won the first place in the competition for start-up companies organised by the International Technology Law Association.

"Our development team includes excellent researchers, the venture capitalist Development Fund has faith in our business plan and we secured equal backing from private investors. All this enables us to export the good idea and turn it into a big global business," Heikki Haldre, the head of Massi Miliano, said to express his confidence in the commercial success of the robotic mannequin.

“The Fits.me service has already been compared to Skype, and considering the vital solution we are offering to the 26 billion dollar online fashion market, there are grounds for drawing these parallels."

The Development Fund's co-investors are angel investors and Webmedia AS. The transaction will give them a minority holding in Massi Miliano OÜ.

Legal counsel was provided by law offices Sorainen and Luiga Mody Hääl Borenius.

The Estonian Development Fund was initiated by the Riigikogu with the purpose of carrying out foresight and making investments into innovatively thinking and ambitiously operating Estonian technology companies. The Development Fund always engages one or several co-investors and makes an investment on equal terms with them in order to activate the local venture capital market.

Further information: Andrus Oks, Estonian Development Fund investment expert, tel: +372 5087 123

Heikki Haldre, Massi Miliano Chairman of the Board, tel: +372 56 611 119