Indian e-commerce brand Fashionandyou.com has raised about $40 million from investors Norwest Venture Partners (which led the round, along with Intel Capital), Sequoia Capital India and Nokia Growth Partners. Sequoia previously invested in the company.
FASHIONANDYOU.COM, A SMILE GROUP VENTURE RAISES USD 40 MILLION, LED BY NORWEST VENTURE PARTNERS AND INTEL CAPITAL
New Delhi, Monday, October 10, 2011: Smile Group Venture and Goldsquare Sales India Private Limited, (owner of India’s #1 online fashion & lifestyle – e-commerce brand Fashionandyou.com), today announced that it has raised funding of US $40 (approximately) million from new and current investors. Led by Norwest Venture Partners and Intel Capital, Sequoia Capital India and Nokia Growth Partners are the investors that have participated in this round.
Goldsquare will use the funds for its growth initiatives, including acquisitions, starting new business categories, as well as accelerating its growth in existing categories and geographies. The new capital will enable Fashionandyou.com to further accelerate its member acquisition strategy and solidify the supply chain and distribution mechanism to provide best in class service to its 2.7 million and growing strong member base.
Sequoia Capital India previously invested in Goldsquare to the tune of USD 8 million in 2010. This investment was used towards growing the company’s product offering, strengthening its enterprise technology and expanding its distribution capacity.
Pearl Uppal, Co-founder and CEO, Fashionandyou.com said, “We are very excited about each of the partners we’ve chosen and the opportunities this financing creates, as we continue to expand into additional categories, and make strategic acquisitions to complement existing business lines. Our partners recognize that Fashionandyou.com has only begun to scratch the surface of what we can offer global and Indian brands as they race to connect with the Indian consumer. With more than 2.7 million members, wealready deliver millions of packages to consumers each year. With this new capital, we have everything we need to exploit the opportunities offered bythis vast and rapidly-growing market and to develop Fashionandyou.com into a world-class e-commerce powerhouse.”
Niren Shah, Managing Director, NVP India,said “Fashionandyou.com has been growing exponentially, and its brand is becoming synonymous with online fashion in India. The company has managed to scale its business significantly because of its early mover advantage, the strength of its experienced team of professionals from the Internet and retail industries, and the company’s strong supplier relationships. We are proud to add Fashionandyou.com to our growing roster of premier e-commerce investments globally, and believe this team possesses the ability to grow the company further and uphold the company’s leadership position in India as the e-commerce market continues to expand at a significant pace.”
Sudheer Kuppam, Managing Director, Intel Capital Asia Pacific Region, said “Internet access in India is no longer something that is limited to the workplace; more Indians are going online at home, too. Internet usage is also rapidly expanding outside of India’s main cities to smaller towns across the country. FashionAndYou’s compelling online shopping experience is proving to be a hit among women and youth across India, and this aligns well with Intel’s goal of promoting e-commerce as an important opportunity for Indian businesses and a convenient and efficient way to bring new products and services to Indian consumers.”
Mr. Shailendra Singh, ManagingDirector, Sequoia Capital India, said, “The consumer response to Fashionandyou’s offering has exceeded our expectations and has resulted in ~500% gross revenue growth since our investment less than one year ago. At this juncture, the company’s priorities are to improve the customer experience and implement world-class supply chain and customer management systems to serve customers better– this new round of financing is going to be an enabler for that.”
Harish Bahl, Founder and Chairman, Smile Group, said, “At Smile Group we have been passionate supporters of the growth of e-commerce in India and Fashionandyou.com clearly has emerged as one of our best portfolio companies. Fashionandyou.com changed the way for lifestyle e-retail in India by consistently bringing the best brands at the most affordable prices. Our dominance in the lifestyle e-commerce space is demonstrated by our huge fanbase of approximately 1 million, on face book and other social platforms. We wish to use this round of financing to continue to improve our offering & experience to our customers & be the most loved fashion & lifestyleretail destination.“
Fashionandyou.com is India’s #1 private sales website and a leader in the Indian Online Fashion & Luxury space. Launched in January, 2010 Fashionandyou.com is amongst the top e-commerce companies in India. It is an invitation-only private sales club, which partners with high fashion and luxury brands across fashion apparel, designer wear, accessories, footwear, watches, jewellery, fragrances, kids, home décor, and holds private sales events for these brands on www.Fashionandyou.com at prices up to 80% off. Since its inception, Fashionandyou.com has been growing at a tremendous pace. Fashionandyou.com employs more than 450 people spread across offices and distribution centers in Gurgaon, Mumbai & Bangalore.
About Norwest Venture Partners (NVP)
Norwest Venture Partners (NVP) is a global venture and growth equity investment firm that manages more than USD 3.7 billion in capital. Headquartered in Palo Alto, California, NVP has subsidiaries in Mumbai and Bengaluru, India and Herzelia, Israel. NVP makes early to late stage venture and growth equity investments across a wide range of sectors including: information technology, business services, financial services, infrastructure, technology enabled services and consumer. NVP hasactively partnered with entrepreneurs to build great businesses for more than 50 years and has funded nearly 500 companies since inception.
Related NVP investments include such companies as AdChina, Admeld, Badgeville, BranchOut, Brand.net, The Dealmap (acquired by Google), Gilt Groupe, iProf,Komli Media, Lashou, ngmoco (acquired by DeNA), NSE (National Stock Exchange of India), Persistent Systems (NSE: PERSISTEN.NS), Playdom (acquired by The Walt Disney Company), Quikr, Quirky, Rackspace (NYSE:RAX), Ratnakar Bank, Sadbhav Infrastructure Project Ltd (SIPL), Shriram Union City Finance, SideStep (acquired by Kayak), Sulekha, Suvidhaa, TURN, WhaleShark Media (parent company of RetailMeNot) and Yatra.com. For more information, please visit www.nvp.com.
About Intel Capital
Intel Capital, Intel’s global investment organization, makes equity investments in innovative technology start-ups and companies worldwide. Intel Capital invests in a broad range of companies offering hardware, software, and services targeting enterprise, mobility, health, consumer Internet, digital media, semiconductor manufacturing and cleantech. Since 1991, Intel Capital has invested more than US$10.2 billion in over 1,165 companies in 51 countries. In that timeframe, 193 portfolio companies have gone public on various exchanges around the world and 284 were acquired or participated in a merger. In 2010, Intel Capital invested US$327 million in 119 investments with approximately 44 percent of funds invested outside the U.S. and Canada. For more information on Intel Capital and its differentiated advantages, visit www.intelcapital.com.
About Nokia Growth Partners
Nokia Growth Partners (NGP) is the premier venture investor focused on growth stage companies in the mobile industry. With $350M under management, NGP invests in companies and people that are changing the global face of mobility, communications and the Internet. Nokia Growth Partners offers a global perspective and deep network in the mobile industry working closely with Nokia to build successful partnerships between Nokia and portfolio companies. NGP has offices in Menlo Park, Helsinki, Beijing and New Delhi. For further information visit www.nokiagrowthpartners.com.
About Sequoia Capital
Sequoia Capital currently manages US $1.4 billion and invests across venture, growth and late stage opportunities in India. It takes a long term view on investments and plays the role of an active, value added partner to entrepreneurs, business families and management teams. Over the last several years, Sequoia Capital has invested in more than 50 Indian companies including Café Coffee Day, Comviva, Idea Cellular, Just Dial, Manappuram Finance, Paras, Quick Heal, Mu Sigma, Vasan Health Care and Via. Sequoia Capital operates out of offices in Bangalore, Mumbai and New Delhi.
Globally, Sequoia Capital has an unparalleled track record of partnering with entrepreneurs to create global market leaders. Sequoia Capital has been an early investor in companies such as Google, Cisco, Yahoo, YouTube, Oracle, and Apple Computers. Sequoia Capital maintains dedicated teams in the US, China, India and Israel.
About Smile Group
Smile Group is India’s largest privately held group of ventures focused on the digital industry with extensive holdings in digital media, e-commerce infrastructure.
Its founder & CEO, Harish Bahl is a serial entrepreneur and has several successful ventures to his credit with large global players like WPP (Quasar), Yahoo! (Tyroo) and ScanGroup (sQuad). Harish diversified into the e-commerce in late 2009 with Fashionandyou.com, India’s leading private sales business, followed by his launches of dealsandyou.com in the daily deals space and bestylish.com in the shoe business. Smile Group other ventures include: Blazar, Creons, healthpa.com, Quasar, Zoomtra and Creon Infrastructure.