Rent the Runway will pay $9 million, settling a class action lawsuit that alleged the fashion rental company made misleading statements to investors at the time of its initial public offering.

The settlement, which resolves all claims brought on by the lawsuit, consists of a $6 million cash payment and the distribution of $3 million worth of the company's Class A common stock, according to a Friday filing with the Securities and Exchange Commission.

The cash payment includes a $3.1 million contribution from Rent the Runway, as well as a $2.9 million contribution from the company's insurers.

Rent the Runway, which rents and sells work clothes, evening wear, handbags and jewelry, went public in 2021 with a $1.7 billion valuation. A class action lawsuit filed the year after its public debut alleged that Rent the Runway, certain officers and directors, and the IPO's underwriters, violated the Securities Act by making materially-misleading statements about the company's growth.

The settlement is subject to both preliminary and final court approval. It doesn't include any admission of liability, wrongdoing, damages, negligence, or fault by Rent the Runway.