Fashion Startup Virgio Closes $37 Mn In Series A Funding Round

Former Myntra Chief Amar Nagaram’s Fashion Startup Virgio Closes $37 Mn Series A Round

SUMMARY

Just a week back in December, Prosus had invested $10 Mn, AlphaWave $7.25 Mn and Accel India invested an undisclosed amount as a part of the current round

The startup is reportedly valued at $161 Mn

Virgio operates a test-and-scale method, which helps bridge the gap between designers and consumers, by mass-creating fashionable pieces

Bengaluru-based fashion startup Virgio has raised $37 Mn in its Series A funding round led by Prosus Ventures, Accel and Alpha Wave. The startup plans to use the funds to develop tech and expand its team.

Last week, as a part of the current funding round, Prosus invested $10 Mn in Virgio for a 6.25% stake in the startup. While AlphaWave pumped nearly INR 60 Cr ($7.25 Mn), Accel India invested an undisclosed amount for a 16.29% stake in the startup. At the time, the startup was valued at $100 Mn.

According to a Tech Crunch report, the startup is currently valued at $161 Mn.

Founded in 2022 by former Myntra CEO Amar Nagaram, the fashion startup uses tech to design, manufacture and automate purchasing processes and streamlines the entire fashion lifecycle. Focussed on GenZ and millennials, the startup allows designers to access consumer preferences in real-time and build in-fashion apparel and accessories.

In essence, the startup follows a test-and-scale method, bridging the gap between designers and consumers, by mass-creating fashionable pieces and eliminating excess inventory for manufacturers. It has been modelled after the now-banned Chinese apps Shein and Club Factory.

Virgio is also backed by Cult Fit’s Mukesh Bansal, CRED’s Kunal Shah, Flipkart’s Binny Bansal, Ola’s Bhavish Aggarwal, Meesho’s Vidit Aatrey, Swiggy’s Sriharsha Majety, ACT’s Mekin Maheshwari and PhonePe’s Sameer Nigam, among others.

Virgio said that it’s B2B2C model has condensed over the past ten months, especially last month when it massed 1 Mn+ unique views for 2,000+ new styles. Its Android and Apple App Stores have seen more than 100K downloads so far.

India’s fashion scenario is evolving rapidly, with a new crop of fashion startups looking to make their mark on the industry. From online boutiques to innovative new tech and from D2C to social commerce, these startups are poised to change how one shops. In India, the fast fashion industry is poised to be worth $19 Bn in 2023, with brands such as Bewakoof.com, Souled Store, Zudio and more at the fore.