Bengaluru-based Ace Turtle raises $5 million from Vertex Holdings: Report

Ace Turtle, a Bengaluru-based tech-led retail startup that operates denim brands Lee, Wrangler and G-Star Raw in India, has raised $5 million in a bridge funding round led by existing investor Vertex Holdings, with participation from co-founders Berry Singh and Nitin Chhabra, according to an ET report.

The startup will use the raised capital to support working capital requirements, accelerate the rollout of physical retail stores, and fund expansion plans, including the recent addition of the G-Star Raw licence.

Ace Turtle operates and distributes global apparel brands across both online and offline channels in India.

The startup has raised about $48 million to date, including a $34 million Series B round in 2023 led by Vertex Growth, with participation from SBI Investment Co, Tuscan Ventures, Trifecta Capital and others, as well as a $4 million pre-Series B round in 2019.

The report said that the startup expects to be earnings before interest, taxes, depreciation and amortisation neutral in the quarter ended December and is targeting a transition to Ebitda positivity over the next few financial years as it scales its omnichannel operations.

Despite near-term headwinds, the broader retail opportunity remains large. According to Bain & Company, India has emerged as the world’s third-largest retail market in 2024, with the e-retail segment reaching about $60 billion in gross merchandise value, supported by the second-largest online shopper base globally.

The firm noted that globally, trend-first fashion brands have scaled by combining heavy social media investment, rapid trend detection, test-and-scale merchandising models and personalised digital experiences focused on novelty and repeat engagement.