Pepperfry raises Rs 210 crore from existing investors

Online furniture and home marketplace Pepperfry.com has raised Rs 210 crore in a fresh round of funding from current investors Goldman Sachs, Bertelsmann India Investments (BII), Norwest Venture Partners (NVP) and Zodius Technology Fund. This is the largest investment raised by a vertical-focussed, pure-play e-commerce company

in India this year. These funds will be used to scale Pepperfry’s logistics and service network and to expand the Pepperfry Studios’ (experience centres) footprint. The infusion comes at a time when startups are folding up due to financial pressures. In the past six months about 25-plus startups have shut shop — the latest being laundry services provider DoorMint. The fundraise is an example of investors’ faith in the company’s services and opportunities it presents. Ankur Sahu, Co-Head of Private Equity at Goldman Sachs in Asia, said, “Over the past year and a half, Pepperfry has continued to successfully innovate, grow its business and deliver on the macro theme of domestic consumption growth in India. In partnership with the talented management team, our goal is to establish a differentiated and sustainable leader in India’s rapidly growing ecommerce industry to stand the test of time.” "The Indian internet story has just begun and the furniture category is set to witness explosive growth over the next couple of years. Pepperfry is an exceptional brand and is well positioned as the market leader to ride this next wave of market expansion,” said Pankaj Makkar, Managing Director, Bertelsmann India Investments. Niren Shah, Managing Director, Norwest Venture Partners said, “Pepperfry is built on strong values and a differentiated business model. We have been fans of Pepperfry since its inception and are confident that Ambareesh and Ashish (founders) will continue to excite customers and create exceptional value for all stakeholders.” Gautam Patel, Managing Director, Zodius Technology Fund said, “This latest round of funding is a validation of Pepperfry’s value proposition and our continued commitment to the business.” In these next few months, the company will extend the Pepperfry Studio coverage into Tier II and III towns. To focus on customer experience, th company plans to make significant investments in supply chain automation and expand Big Box logistics network will to 1,000-plus cities. In India, Pepperfry owns and operates the largest customer facing Big Box Supply Chain through 17 fulfilment hubs and a delivery fleet of over 400 vehicles, delighting customers across 500+ cities. Ambareesh Murty, Founder and Chief Executive of Pepperfry said, “Our mission is to help 20 million customers’ create beautiful homes by 2020. We are doing this through a differentiated, profitable business model and I thank our investors for believing in the team and for being great partners on this journey”.