Fashion tech startup Virgio, founded by Myntra's former CEO Amar Nagaram, has raised $37 million in a new funding round at a valuation of $161 million. Prosus Ventures, Alpha Wave and Accel co-led the Series A round.
Founded in 2022, the startup plans to use the raised capital towards further technology development and hiring talent for the company's growth.
Traditionally, the fashion industry has operated on depth and discount models, said Amar Nagaram. "At the core of Virgio is the tech foundation, which is always listening to evolving trends on social media platforms and predicting the demand for each trend."
"This is then fed into our agile and responsive supply chain to enable the trendiest, most elegant and yet affordable line in near real-time. Thus, Virgio is pioneering the test and scale method, making runway fashion accessible and affordable for all consumers while eliminating excess inventory for manufacturers," he added.
Virgio believes consumers' fashion preferences are changing rapidly, and most consumers are unsatisfied with the necessary offerings. To solve this, Virgio says it uses technology throughout the design, manufacturing and purchasing process to streamline the entire fashion lifecycle and enable a real-time fashion offering.
The startup offers casual, partywear, loungewear, sportswear, and ethnic clothing for both Men and Women.
Ashutosh Sharma, Head of India Investments, Prosus Ventures, said, "there is a largely underserved market for branded apparel in India currently. Citing an example, he said that for women, only 25 per cent of fashion is branded apparel."
"We are confident in Virgio’s tech-first model and believe the start-up’s expert founding team is uniquely positioned to capture a large opportunity in India’s fashion industry," Sharma said.