Baazar Style Retail Ltd, which operates under the brand name Style Baazar, on Wednesday said it has raised Rs 65 crore (around $8.6 million) from existing investors Rakesh Jhunjhunwala, Intensive Softshare and Rajnish Gupta.
The round also saw participation from new investors including Kewal Kiran Clothing, Chandurkar family office and Girish Chovatia, among others.
Launched in 2013, Style Baazar operates a chain of value retail stores where it offers a wide range of apparel and household items at affordable prices.
It operates 106 stores across seven states in India such as West Bengal, Orissa, Bihar, Jharkhand, Andhra Pradesh, Assam and Tripura majorly focused on Tier 2 and 3 cities. It plans to double its store count in three years.
The stores mainly serve lower-income groups and offer products across categories such as fashion, home furnishings, utensils, crockery, cutlery, and sports goods, among others.
Style Bazaar is planning to file an initial public offering (IPO) by the end of this year.
"India has added more than 450 million consumers into the middle-income bucket over the past 15 years. It is this bucket which is driving consumerism in India and Style Baazar is well-positioned to cater to this aspiration which presents a strong tailwind for growth," said Shreyans Surana, Director, Style Baazar.
In 2018, the startup raised an undisclosed amount from Jhunjhunwala and a clutch of private equity professionals.
In 2019, Style Baazar secured Rs 51 crore (around $7.3 million) in a funding round led by Jhunjhunwala, VCCircle reported.
Intensive Fiscal Services Pvt Ltd, is a sole syndicator and advisor to the current round in Style Baazar.