Wakefit Innovations Limited files DRHP with SEBI; to raise Rs 468 crore via fresh issue

Wakefit Innovations Limited, the largest D2C home and furnishings company in India in terms of revenue in Fiscal 2024, as per a Redseer report has filed the draft red herring prospectus (DRHP) with capital markets regulator SEBI to raise funds through an initial public offering (IPO).

According to the DRHP, the proposed IPO of the Bengaluru-based company is a combination of a fresh issue of equity shares aggregating up to Rs. 468.2 crore and an offer for sale (OFS) of 5,83,99,085 equity shares (5.83 crore shares) by the selling shareholders.

As part of the OFS, the promoters - Ankit Garg and Chaitanya Ramalingegowda and Other Selling Shareholders - Nitika Goel, Peak XV Partners Investments VI, Redwood Trust, Verlinvest S.A., SAI Global India Fund I LLP, Investcorp Growth Equity Fund, Investcorp Growth Opportunity Fund and Paramark KB Fund I will be offloading shares.

Wakefit proposes to utilize the Net Proceeds from the Fresh Issue towards funding of capital expenditure worth Rs. 82 crores for setting up of 117 new COCO – Regular Stores and one COCO – Jumbo Store; Rs. 15.4 crores towards capex for purchase of new equipment and machinery; Rs. 145 crores towards expenditure for lease, sub-lease rent and license fee payments for existing stores; Rs 108.4 crores towards marketing and advertisement expenses for enhancing the awareness and visibility of the brand and the remaining amount will be used for general corporate purposes.

The company, in consultation with the BRLMs, may consider a Pre-IPO Placement aggregating up to Rs. 93.6 crores; prior to filing of the Red Herring Prospectus with the ROC. If the Pre- IPO Placement is undertaken, then the fresh issue will be reduced to the extent of such Pre-IPO placement.

Wakefit, which was incorporated in 2016 is the fastest homegrown player in the home and furnishings market in India among organized peers to achieve a total income of more than Rs. 1,000 crores, as of March 31, 2024.

It has a wide range of mattresses, furniture, and furnishings which it sells through both own channels (comprising the website and COCO – Stores) and external channels (including various marketplaces, such as major e-commerce platforms and multi-branded outlets). It is a fullstack vertically integrated company, enabling it to control every aspect of operations, from conceptualizing, designing and engineering products to manufacturing, distributing and providing customer experience and engagement.

Wakefit operates five manufacturing facilities of which two are situated at Bengaluru, Karnataka, two at Hosur, Tamil Nadu and one at Sonipat, Haryana. Its facilities are equipped with imported machinery and automation technologies, such as robotic arms and roller belts, which streamline the production process and reduce waste.

Wakefit reported revenue from operations of Rs. 986.3 crore in FY24 and Rs. 971 crore for the nine-months period ended December 31, 2024.

India’s Home & Furnishings market can be broadly classified into 3 key categories - furniture, mattresses and furnishings & décor. The Home & Furnishings market in India is estimated to be approx. Rs. 2.8 lakh crores as of CY2024 and projected to grow at 13% CAGR to reach Rs. 5.9 lakh crores by CY2030 fuelled by organized retail growth, rising online dominance, and premiumization.

Axis Capital Limited, IIFL Capital Services Limited and Nomura Financial Advisory and Securities (India) Private Limited are the Book Running Lead Managers to the issue. The equity shares of the company are proposed to be listed on BSE and NSE.

DRHP Link: https://nsearchives.nseindia.com/corporate/Registration_27062025055322_DRHP.pdf

Pepperfry Launches Its New Studio in Bangalore

STRENGTHENS ITS OMNICHANNEL PRESENCE IN SOUTHERN INDIA

Pepperfry, the leading ecommerce furniture and home goods company, announced the launch of its New Studio in Bangalore, Karnataka. The offline expansion is in line with the company’s aim to penetrate into niche markets and strengthen its omnichannel consumer engagement in home and living space in India. Pepperfry’s studio footprint currently spans across 90+ cities with 180+ studios in the country.

Pepperfry Studios have transformed the furniture retail landscape in India. The company’s omnichannel strategy is driven by expansion of FOFO studios across the country and it currently works with 90 plus unique partners. The new studio launched in partnership with Vishnuz Enterprise, is situated at a prime location at S.G. Arcade, RR Nagar, in Bangalore, spanning across a carpet area of 1705sq. ft. It offers customers a first-hand experience of an infinite catalogue of furniture and home products. Customers will get specialized design advice from the company’s interior design consultants. The studio at Bangalore aims at providing a personalized shopping experience tailored to the unique needs of home and living customers in Karnataka.

Speaking of the launch Amruta Gupta, Business Head - Franchising and Alliances, Pepperfry said, “We are delighted to launch our new Studio in Bangalore in partnership with Vishnuz Enterprise. Owning a Pepperfry franchise is an entrepreneurial success, and we aim to reach consumers beyond the larger catchment areas of metropolitan and tier 1 cities. Our franchise partners include a mix of successful businesses, women entrepreneurs, ex-army officials and first-time entrepreneurs. Today a large part of our Pepperfry customer interactions leverage AR and virtual product interactions. With our mission to spark a feeling called home across the world, we endeavor to consistently deliver great customer service.”

Jayakanth.B & Pallavi Jayakanth (Owner of Franchise Studio), said, “We are extremely happy to partner with Pepperfry, India’s leading home and furniture marketplace. Pepperfry has pioneered a truly differentiated omnichannel business and we are proud to be a part of their journey in creating the largest omnichannel home and furniture business.”

Launched in 2017, Pepperfry franchise business model offers order fulfillment and after sales service by Pepperfry, support on studio design, launch & set up, operational guidance, marketing, and promotions. Pepperfry partners with local entrepreneurs who are aware of the hyperlocal demand cycles and trends. Pepperfry launches about 8-9 franchisees every month.

Pepperfry Accelerator Program was crafted in the year 2021 to expand Pepperfry’s offline footprint. The big differentiator of this program is the Capex required by franchise partners which starts with INR 15 lakhs. This model is based on 100% price parity and does not require the partner to hold product inventory, making it a mutually beneficial business association.

Pepperfry is India’s leading ecommerce furniture and home goods company offering customers a diverse selection of over 120,000 SKUs in over 500+ cities with a consistently great shopping experience. The Pepperfry managed marketplace helps thousands of entrepreneurs and merchants sell to millions of discerning customers across India.

Home Furnishing Marketplace Vaaree Raises Pre-Seed Funding From Kunal Shah, Ghazal Alagh, Vineeta Singh, Others

Vaaree Founders

Vaaree, a unique, curated home furnishing marketplace for India has raised pre-seed funding with a coterie of marquee investors Kunal Shah (Founder CRED), Ghazal Alagh (Co-Founder Mamaearth), Vineeta Singh (Co-Founder SUGAR Cosmetics), Arjun Vaidya (Founder Dr. Vaidya's), Rohit MA (Founder Cloudnine), Anjali Bansal(Founder Avana Capital), Varun Dua & Ruchi Deepak(Co-founders Acko), Manish Duggar(CFO Mphasis) amongst others. The marketplace was founded in 2022 by Garima Luthra and Pranav Arora with the vision to connect high-quality indigenous manufacturers and artisans to end consumers.

Combined with a layer of trend-based curation from a specialized in-house design team, Vaaree is able to provide an expansive selection that marries elegant design with world-class quality at affordable prices. Currently the brand has 2000+ SKUs across multiple categories that includes Bedsheets, Cushion Covers, Dining, Kitchen and Bath.

Initially, Vaaree will focus on soft furnishings and tableware but that time isn’t far where Vaaree will be associated with ‘anything home-related’. Vaaree is currently focused on building up its network of individually vetted and certified, ethical manufacturers. With a stringent onboarding process as well as design-based QC checks, Vaaree’s core commitment is to provide customer delight. Vaaree will also focus on logistics and supply chain efficiencies. Beyond offering customers beautiful products that will make their homes cozier and pleasing, Vaaree is the one of the few online players in this space that promises timely deliveries along with a customer friendly return policy. Beyond the product itself, the focus is also on the customer’s entire buying journey/experience.

“I am a 100 percent e-commerce buyer and was so confused about where to look for things for our new home. For Trisha and I, our home is a place that embodies our personality. And, we found what we wanted on Vaaree with a super convenient consumer experience. We’re not only happy investors, but happy customers. Kudos to the team for building this company in such a short span of time - I’m so excited to see where this goes :)” - says Arjun Vaidya, Founder Dr. Vaidya's and an investor in Vaaree.

Commenting on the funding and mission of the brand, Garima and Pranav, Founders of Vaaree said, “We have a vision to make all homes beautiful at affordable prices. We are a one stop shop solution for all things related to home furnishings be it cushion covers, bedsheets, throws, dining, kitchen tools or bathrooms. We curate themes on our website so that a customer doesn’t have to mix and match. We present the products as per a particular theme for easy shopping. With the initial funding we would like to add on more categories, build a strong team and invest in branding.”

“Home Products as a sector has been awaiting a focused disruption of this nature. Combining their deep knowledge of product, ops, business acumen and execution skills, Garima & Pranav are poised to make an impactful consumer experience change in this space. Vaaree is what the home industry needs today “says Rohit M A, Managing Partner, Capier and an investor in Vaaree.

About the Founders:

Garima Luthra - Founder & CEO at Vaaree

Vaaree was founded in 2022, by the very energetic, driven, and ambitious Garima Luthra (BTech from Punjab University). Before starting her venture, she worked with top-tier start-ups like CRED and Acko where she drove revenue and growth by leveraging both technology and operations. When looking for products for her own home, she found the online experiences broken and good aesthetics being overpriced. In pursuit of a solution to these challenges, Vaaree was born - to provide aesthetically pleasing home decor at reasonable prices.

Pranav Arora - Co-founder & COO at Vaaree

Pranav Arora (PEC alumni) is the co-founder of Vaaree. He is passionate, logical, and driven by numbers. For over 11 years, Pranav has been running his family’s manufacturing business, but then in 2022, he decided to pursue entrepreneurship with Vaaree. With strong experience in manufacturing, factory management, operations & multiple Patents, he is the valuable backbone of Vaaree, looking after the entire operations including logistics, warehousing, and vendor management.

About the Company

Vaaree is a curated marketplace for home furnishings that aims to bridge a gap in the Indian home market. Vaaree focuses on providing high-quality home furnishing goods, from local manufacturers and artisans, directly to the end consumer, at an affordable price. The brand offers 2000+ SKUs spread across multiple t categories.
To know more about us and future associations, log onto https://vaaree.com/