In the latest D2C news India and D2C funding news update, omnichannel furniture brand Pepperfry is raising ₹158.4 crore (approximately $17.6 million) in a fresh funding round led by Morde Foods and SageOne Investments, with participation from Newage Global Ventures, F3 Advisors, and over 50 investors, including angel investor and Indian cricketer Shreyas Iyer. This development adds to the ongoing momentum in D2C funding rounds and highlights how established D2C brands India are recalibrating for sustainable growth within the D2C ecosystem India.
The board approved the issuance of 40,51,174 equity shares at an issue price of ₹391 each to raise the capital, as per regulatory filings. Of the total ₹158.4 crore, Pepperfry has already received ₹105 crore (approximately $11.7 million), with the remaining capital expected shortly. Morde Foods is leading the round with ₹25 crore ($2.77 million), followed by SageOne Investments with ₹20 crore and Newage Global Ventures with ₹14.8 crore. Angel investors Sidharth Iyer and Vikas Arora are investing ₹15 crore and ₹8.25 crore respectively, alongside 49 other investors.
This round follows Pepperfry’s $5.1 million raise in June 2025 from existing investors including General Electric Pension Fund, Norwest Venture Partners, Goldman Sachs, and Panthera Growth Partners. According to estimates, the company’s valuation post-allotment is expected to be around ₹1,661 crore ($185 million), compared to ₹2,979 crore ($330 million) in the previous round. While this reflects a valuation reset, it also signals a broader recalibration trend across D2C industry news and D2C startup valuation conversations as brands focus on fundamentals and long-term D2C revenue growth.
Founded in 2011, Pepperfry operates on a marketplace-led D2C business model India across both online and offline channels. With a catalog of over 10,000 products and partnerships with brands such as Godrej, Springfit, and Spacewood, the company has built a strong omnichannel D2C strategy with more than 200 studios across 100+ cities. This hybrid D2C retail vs ecommerce model continues to be central to India’s D2C market news and insights, especially in categories like D2C fashion and lifestyle and D2C home furnishings.
The fresh capital will be deployed to expand business operations, support subsidiaries and group entities, meet working capital requirements, and strengthen overall corporate capabilities. In a year where D2C market trends 2025 emphasize profitability, supply chain efficiency, and disciplined scaling, Pepperfry’s funding aligns with a broader shift in the D2C ecosystem India toward operational resilience.
Financially, while operating revenue declined 14% to ₹163 crore in FY25 from ₹189 crore in FY24, the company reduced its losses by 27% to ₹85 crore during the same period. This improvement in cost discipline and loss reduction is an important marker in D2C startup news and reflects a growing focus on sustainable D2C business India metrics rather than growth at all costs.
Pepperfry competes with players such as Urban Ladder, acquired by Reliance, and Wooden Street, which has raised $77 million. With over $275 million raised to date from investors including Norwest Venture Partners, General Electric, Broad Street Investment, and Pidilite, Pepperfry remains one of the more established names among top funded D2C brands in India.
As consolidation, recalibration, and strategic capital deployment define What’s happening in India’s D2C space today, Pepperfry’s latest funding round reinforces that even amid valuation resets, strong brands within Direct-to-consumer India continue to attract investor confidence and adapt to the evolving D2C ecosystem India.
