Furniture ecommerce company Pepperfry raises $4.8 million in debt funding

• The company posted a 26% jump in revenue to Rs 260.61 crore and cut losses by 33% to Rs 122 crore in FY-20.
• In February 2020, Pepperfry had raised $40 million in a Series F funding round.
• Global investors Norwest Venture Partners, Goldman Sachs, State Street Global Advisors, among others, have invested in the company.

Mumbai-based furniture ecommerce company Pepperfry has raised Rs 35 crore ($4.8 million) in a debt funding round led by Temasek Holdings backed InnoVen Capital.

Pepperfry will use the funding to expand its presence across the country and capitalize us even beyond achieving profitability, the company said in a statement.

Prior to this round, In February last year, Pepperfry had raised $40 million from Goldman Sachs, Norwest Venture, Pidilite Industries, others as part of its Series F funding round. To date, the company has raised over $245 million combined in debt and equity rounds.

Founded in July 2011 by Ambareesh Murty and Ashish Shah, Pepperfry (Trendsutra Platform Services Pvt. Ltd.) is one of India's leading online home and lifestyle shopping store platforms having 8+ million registered customers across 500+ cities.

Neelesh Talathi, CFO of Pepperfry said, “We are pleased to deepen our partnership with InnoVen Capital. We remain focused on expanding Pepperfry’s leadership position in Indian furniture and home e-commerce."

"Our business has seen strong momentum through Covid and we continue to make good progress towards achieving profitability and managing cash flows," he said.

Over the past few months, the company witnessed a significant increase in its overall business growth and is on track to achieve profitability. Recently, Pepperfry reported a 26% jump in revenue to Rs 260.61 crore and cut losses by 33% to around Rs 122 crore in FY-20. 

Speaking on the investment, Sameer Mansukhani from InnoVen Capital India, said, “We have seen Pepperfry grow and emerge as a category leader while adding new capabilities and product offerings on its platform they have built a strong brand and this investment reaffirms our commitment to back high performing portfolio companies across their life cycle."

The company competes with UrbanLadder, HomeTown, HomeCentre, @home, among several other furniture ecommerce platforms. Last year, its top rival Urban Ladder sold a 94% stake to Reliance Retail for Rs 182 crore ($25 million).

Pepperfry counts Norwest Venture Partners, Goldman Sachs, State Street Global Advisors, State Street Global Advisors, Bertelsmann India Investments, and Zodius Capital as their prominent investors.

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