Online furniture marketplace Pepperfry has raised a funding of Rs 250 crore from US-based financial services company State Street Global Advisors (SSgA). As part of the deal, SSgA’s Anandh Hari, Managing Director of Private Equity will join the Pepperfry’s Board of directors.
Founded by Ashish Shah and Ambareesh Murty in July 2011, the company is looking for an IPO soon. The company said that it will use fresh funds to expand Pepperfry’s experience centers in Tier II Towns, and technologies like AR/VR technology for virtual touch and feel, and to prepare for its next financial milestone of an IPO.
In a statement, the company said that its revenue has grown at a CAGR of over 83% in the last 5 years and with this fresh round of investment, it has enough dry-powder available to accelerate past
the break-even point and become a profitable business over the next 12-18 months.
Coincidentally, a day before Pepperfry’s direct rival Urban Ladder raised a funding of US $12 million from its existing investors.
Pepperfry’s previous funding
In September 2016, the company raised Rs 210 crore from its existing investors Goldman Sachs, Norwest Venture Partners Bertelsmann India Investments and Zodius Technology Fund.
Pepperfry had previously raised $100 million in June 2015 from the same set of investors. In May 2014, Pepperfry raised $15 million in a round of funding led by Bertelsmann India Investments. It had also raised $8 million from Norwest Venture Partners in April 2013, and a $5 million round from the same company in December 2011, which was incidentally before the site was launched.