Carpediem Exits Interior Design Startup Flipspaces With 9X Return

SUMMARY

PE firm said it scored 40% internal rate of return (IRR) on the investment. Carpediem had invested $1.8 Mn in Flipspaces in December 2018

Carpediem claimed that Flipspaces scaled its revenue 11X during this period, expanded into the US market (which now contributes 20% of revenue), and executed projects for clients like TCS

Flipspaces reported a net loss of INR 8 Cr on an operating revenue of INR 190 Cr in FY24, eyeing a public listing in 2026

Mumbai-based PE firm Carpediem Capital has exited Flipspaces with 9X return, seven years after first backing the interior design startup.

In a statement, the PE firm said it scored 40% internal rate of return (IRR) on the investment. Carpediem had invested $1.8 Mn in Flipspaces in December 2018, acquiring a minority stake during its Series A round. It exited the startup during its $50 Mn Series C round earlier this year.

Carpediem claimed that Flipspaces scaled its revenue 11X during this period, expanded into the US market (which now contributes 20% of revenue), and executed projects for clients like TCS.

Notably, Flipspaces reported a net loss of INR 8 Cr on an operating revenue of INR 190 Cr in FY24. The startup is eyeing a public listing in 2026. Flipspaces claims that its operations in both India and the US are profitable and it is planning to enter the UAE market.

Founded in 2011 by Kunal Sharma, Ankur Muchhal, Vikash Anand and Mrinal Sharma, the startup offers a tech-first, end-to-end commercial interior design platform, primarily catering to small and medium businesses.

Flipspaces currently operates with 400 in-house employees, serves over 1,000 clients, and manages 8.5 Mn sq. ft. of commercial space globally. It competes with the likes of Livspace, HomeLane, and Bonito Designs.

The startup has raised a total funding of about $$110.53 Mn to date and counts the likes of Iron Pillar, Prudent Investment Managers, Crescent Enterprises, Panthera Growth Partners, SMBC Asia Rising Fund, Asiana Fund, Synergy Capital, among its investors.

Meanwhile, Carpediem focusses on two key consumption-driven themes – consumer brands and companies operating in traditionally fragmented sectors. Its portfolio includes Biryani Blues, Adinath Agro, Colmed, 1India Family Mart, Sindhuja Microcredit, FornaxCo, and Inc.5 Shoes.

Besides Flipspaces, the PE firm has exited Yaantra and Sukkhi with an IRR of over 30%.