Rent the Runway stock reels despite new Amazon collaboration (update)
Liudmila Chernetska

Rent the Runway (NASDAQ:RENT) stock slumped on Thursday after announcing a new collaboration with Amazon (AMZN).
Under the terms of the new agreement, the online fashion rental provider will launch an Amazon Fashion storefront to sell a selection of its pre-owned merchandise. The company said that 35 brands for various styles and occasions will be available via the new storefront. 
"Collaborating with Amazon Fashion brings Rent the Runway incredible brand awareness," Rent the Runway Co-Founder and CEO Jenn Hyman said. "We believe strategic relationships like this can ignite a new engine of growth for our business. They also showcase demand for our products beyond our community and allow more customers to experience exclusive data-driven fashion from our top design partners."
Shares of Rent the Runway (RENT) jumped nearly 5% after the announcement before moderating gains and eventually dropping nearly 10% as Thursdayâs trading progressed. 
Read more on the details of the partnership.