Homevista Decor and Furnishings Pvt Ltd, which operates interior design platform HomeLane, said Thursday it has raised Rs 75 crore ($9.1 million) in a bridge funding round from its existing backers.
The company, however, didn’t share the name of the investors as well as the valuation at which it raised the capital.
HomeLane, which is backed by Pidilite, Evolvence, NuVentures, Peak XV Partners and Accel, had raised over $100 million across multiple funding rounds prior to raising bridge funding. Peak XV is the new name of Sequoia Capital India and Southeast Asia. The rebranding came after the investment firm split its global business into three covering America and Europe, China, and India and Southeast Asia.
The fresh funding will help accelerate HomeLane's growth trajectory and support its expansion plans, the company said in a statement, adding that the round reiterates the confidence of its investors in the company.
The capital will also help the company improve its financial position to pursue growth opportunities in the 22 cities it has a presence in across India. It is also looking to scale up its recently launched affordable segment brand, Doowup.
"This bridge round represents an important milestone for HomeLane, providing us with the resources to further scale the delivery of exceptional home interior solutions to our customers," said HomeLane’s co-founder and chief executive officer Srikanth Iyer and cofounder and chief operating officer Tanuj Choudhry in a joint statement.
Founded in 2014 by Srikanth Iyer and Tanuj Choudhry, HomeLane provides end-to-end personalized home interior makeovers. In the financial year ended March 2023, the startup grew its revenue by 40% with an annual revenue rate of Rs 1,000 crore, Iyer told VCCircle in a recent interview. “FY23 was a mixed bag for us. On the demand side, we saw growth. But we had a lot of pressure on input costs. That put some pressure on the margin side,” he said.
Iyer refrained from providing further details regarding the margins. However, his remarks suggested that the company's revenue in FY23 is estimated to have approached approximately Rs 600 crore, up from Rs 426.1 crore in FY22.
The company claims it is on track to achieve profitability in the ongoing financial year. Its net loss widened to over Rs 150 crore in FY22 from about Rs 100 crore in FY21.