FabAlley raises Rs 5 crore from Trifecta Capital, to use funds for offline growth

By

Maverick Martins

Published
Feb 2, 2018

Indian fashion retailer FabAlley in a fresh funding round has managed to raise Rs 5 crore (approx $0.8 million) in venture debt from Trifecta Capital which the company plans to utilise for its offline growth. The company had earlier raised around 12 crore (approx $2 million) in Series A from India Quotient and other angel investors.
 

FabAlley plan to open 25 flagship stores and 100 shop-in-shops throughout India over the course of the coming year and the latest funds will give a shot in the arm to its expansion plan. The company has earmarked an investment of Rs 10 to 12 crore (approx $1.7 to $2 million) on its expansion.
 
 “We plan to use the fresh capital infusion to expand geographically into the top metros and affluent Tier-1 cities. We plan to grow from 3 own-stores to 25 stores in the next 12 months and will be deploying 10-12 crore towards the expansion. The aim is to grow our Indya brand both offline and online, while the FabAlley brand with its rapid fashion, global fashion strategy grows primarily online through horizontal and vertical category additions in the western wear apparel and accessories space”, Shivani Poddar, Co-founder, FabAlley said in a statement.

Commenting on the investment in FabAlley, Nilesh Kothari, Co-founder, Trifecta Capital said, “Online Fashion is growing at around 50 per cent CAGR and is expected to be a US $20 billion market by 2020. FabAlley stood out amongst the crowded, and yet the largest and fastest growing, e-commerce segment – Fashion, by being the most capital efficient player, and leveraging omni-channel to build a sizeable business. We look forward to supporting them through their exciting journey.”
 
FabAlley was started by two women entrepreneurs Shivani Poddar and Tanvi Malik and currently has a physical presence in India, Sri Lanka, Dubai, and Mauritius. It is also looking to expand online internationally, predominately into the UK market and in the Middle East.
 
The company retails online through their own website and through large online marketplaces, servicing over 2,000 orders a day.