Overview
Mumbai-based D2C lifestyle and fashion accessories brand Zouk is set to raise Rs 60 crore ($6.3 million) in a pre-Series C funding round. The investment is led by existing backers Aavishkaar Capital and Stellaris Venture Partners, with participation from Sharrp Ventures and Mihir Gadani.
Deal Terms & Structure
The board at Zouk has passed a resolution to issue 2,468 compulsory convertible cumulative preference shares (CCCPS) at an issue price of Rs 2,44,950 per share. The round values the company at approximately Rs 610 crore.
Financials & Traction
For the fiscal year ended March 2025, Zouk reported revenue of Rs 125 crore, reflecting a 60.7% year-on-year growth, alongside a net loss of Rs 19 crore. The new capital will be deployed toward business expansion and working capital needs.
Market Context
Founded in 2016 by Disha Singh and Pradeep Krishnakumar, Zouk continues to capture market share in the competitive Indian lifestyle space with its range of handbags, wallets, and laptop bags. This follow-on investment demonstrates sustained confidence from major institutional players in the brand’s ability to scale efficiently.
Founder Takeaway
Zouk’s ability to secure follow-on funding despite current operating losses underscores the importance of maintaining consistent top-line growth (60%+ YoY) and securing the long-term commitment of existing cap table partners as a bridge to profitability.