Lab-Grown Diamond Jewellery Brand Firefly Bags $3 Mn

Lab-grown diamond jewellery brand Firefly Diamonds has raised $3 Mn (around INR 25 Cr) in a seed funding round led by WestBridge Capital.

The Mumbai-based startup plans to use the fresh capital  to accelerate its retail expansion, strengthen digital presence and launch new collections.

Founded in December 2023 by brothers Adit and Aayush Bhansali, Firefly is an omnichannel brand that sells lab-grown diamond jewellery via its website as well as retail stores in Mumbai, Pune, Bengaluru and Hyderabad. 

The startup plans to increase its store count by 20 in the next two years. Firefly Diamonds also claims that its entire supply chain, comprising growing, cutting, polishing and jewellery setting, is based in India 

“… Our brand is built on a legacy of trust, innovation, and craftsmanship… With this funding, we wish to usher in a new era of Indian luxury, that celebrates beauty, individuality, and the art of fine craftsmanship,” said Adit Bhansali. 

Why Are Indians Rushing To Buy Lab-Grown Diamonds? The biggest factor driving the popularity of lab-grown diamonds is their affordability. Such diamonds offer 80-95% cost savings compared to natural diamonds while maintaining identical chemical, optical and physical properties.

Coupled with the combination of quality and unique designs, many Gen Z and millennials are wearing such diamonds for daily use. Another key factor driving this shift is the changing ethical perspective of people as lab-grown diamonds are not mined, meaning no exploitation of labour or destruction of land.

Tapping Into The Indian Lab-Grown Diamond Opportunity: The growing adoption of lab-grown diamonds has kicked off a gold rush, with legacy giants like Tata Group and Senco Gold and established D2C jewellery players like GIVA and Bluestone are only splurging heavily to corner the market. 

As per reports, the Indian lab-grown diamond jewellery market is projected to become a $1 Bn market opportunity by 2033.