This funding also marks Aavishkaar Group's eighth investment from its $150 million AIF6 fund, which focuses on impact sectors like financial inclusion, sustainable agriculture, climate, healthcare, and consumer markets in India
Zouk, a direct-to-consumer lifestyle brand specializing in bags and luggage, has secured $10 million in a Series B funding round led by Aavishkaar Group. The round also included participation from Stellaris Venture Partners, Titan Capital, Sharrp Ventures, and the JJ Family, bringing the company's total funding to $14.5 million.
The start-up previously raised $3 million in a funding round led by Stellaris Venture Partners, with participation from Sharrp Ventures, the JJ Family Office, Deutsche Bank India CEO Dilip Khandelwal, Atomberg founder Manoj Meena, and Sugar Cosmetics founders Vineeta Singh and Kaushik Mukherjee.
This funding also marks Aavishkaar Group's eighth investment from its $150 million AIF6 fund, which focuses on impact sectors like financial inclusion, sustainable agriculture, climate, healthcare, and consumer markets in India. Spark Capital served as the exclusive advisor for this fundraising round.
With the new funding, Zouk plans to expand its network of exclusive brand outlets, currently having 4 stores, the start-up is targeting a total of 75 stores. It will also focus on strengthening its marketing initiatives, improving its supply chain, and investing in talent across multiple verticals.
"In Aavishkaar Capital, we have found a like-minded partner who believes in building a strong business that also has a positive social impact. This fundraise enables us to scale up our online and offline channels, with a strong consumer love and product market fit we have already established," co-founder, Pradeep Krishnakumar said on the fundraise.
Founded in 2016 by Disha Singh and Pradeep Krishnakumar, the Mumbai-based brand specializes in bags, wallets, and footwear. The company is recognized for producing PETA-approved products, including bags made from "vegan leather." The brand claims to have over 700,000 customers across India. This year, it has also entered the luggage market with backpacks and trolley bags.
During the previous funding round, co-founders Disha Singh and Pradeep Krishnakumar each held a 31 per cent stake in Zouk, with Stellaris being the largest external shareholder, holding a 19.63 per cent stake. For the fiscal year ending March 2023, Zouk reported a revenue of Rs. 47.41 crore, a significant increase from Rs. 21.82 crore in FY22. However, the company’s losses also grew to Rs. 10.55 crore, up from Rs. 77 lakh the previous year. Zouk has not yet filed its financials for FY24.