Direct to consumer company Fable Street Lifestyle Solutions Pvt. Ltd., which runs western wear brands FS Life, FableStreet, Marigold, and Mikoto has raised a Pre-Series B round of ₹50 crore led by its existing investor, Fireside Ventures.
Startup founders Ghazal Alagh, co-founder of MamaEarth; Mehul Agarwal & Vikram Chopra, co-founders of Cars24; Malika Sadani, founder of The Moms Co.;and Ruchi Kalra, co-founder of OfBusiness also participated in the round.
This is the company’s third raise since its inception in 2016.
In 2019, it had raised about ₹21 crore in a Pre-Series A round from Fireside Ventures and others. Prior to that, it had raised around ₹3 crore from friends and family.
The company has now expanded its focus to curating lifestyle brands as well. It houses brands such as Marigold, a modern Indian-wear brand and Mikoto, a sterling silver jewellery brand. This funding will be used to scale all its brands and start or acquire new brands in strategically identified white spaces.
Founded in 2016 by Ayushi Gudwani, the company began as a premium work-wear brand. Delhi, Mumbai and Bengaluru contribute about 55% to the company’s sales and about 40-45% comes from tier-II cities.
In its earlier raise, investors included Pradeep Parameswaran, president for Uber India and South Asia; Dilip Khandelwal, managing director and head of technology at Deutsche Bank; and Suhail Sameer, CEO at RP-Sanjiv Goenka Group who invested in their personal capacities.
Dipanjan Basu, partner at Fireside Ventures, said, “We have seen the company scale despite covid and with capital efficiency. We have invested in them again with the belief that they are set to change the landscape of the fashion industry in India.”
Gudwani said the company will look to acquire a deep ethnic brand and one that is in the athleisure space. “We have built a capital efficient business and now plan to use this money to scale our supply chain technology, build a team and enter offline retail as well,” she said.
A report India D2C Report 2022 by CII and Shiprocket said, D2C brands are estimated to be a $60 billion industry by FY27, registering a CAGR of about 40%.
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