Mumbai-based omnichannel furniture retailer Pepperfry has successfully raised Rs 43.3 crore from its existing investors, including General Electric Pension Trust, Norwest Venture Partners, Goldman Sachs, Growth Equity Opportunity Fund, and Panthera Growth Partners.
Investment Breakdown & Purpose
The latest funding round was led by General Electric Pension Trust, which contributed Rs 21.5 crore, followed by Norwest Venture Partners with Rs 8.5 crore and Panthera Growth Partners with Rs 6.4 crore. The company issued 5.6 lakh compulsorily convertible preference shares at a face value of Rs 775 each on a private placement basis.
According to regulatory filings, the funds will be utilized for growth, expansion, and general corporate activities, as Pepperfry continues to strengthen its market presence amid stiff competition from Amazon India, Flipkart, and Reliance-backed Urban Ladder.
Financial Performance & Market Position
Despite a 30.6% decline in operating revenue to Rs 188.9 crore in FY24, Pepperfry has managed to narrow its losses by 37.4%, reducing them to Rs 117.4 crore from Rs 187.6 crore in the previous fiscal year.
Founded in 2012, Pepperfry had initially planned an IPO to raise $250–300 million, but postponed it last year to focus on profitability and expansion. The company operates on a marketplace model, generating revenue primarily through commissions on product sales and expanding its home décor segment.
Competitive Landscape & Future Outlook
Pepperfry competes with Urban Ladder, Wakefit.co, and WoodenStreet, among others, in the online and offline furniture retail space. The company has been actively onboarding direct-to-consumer brands to diversify its portfolio and enhance customer offerings.
With this fresh infusion of capital, Pepperfry aims to strengthen its market position, improve operational efficiency, and drive long-term growth in India’s evolving furniture and home décor industry.
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