Fashion-focused global manufacturing marketplace Fashinza is in late-stage talks to raise a new round, according to three people aware of the details of the transaction. This will be the company’s second round in the last six months.
The company had raised a $20 million Series A round in a mix of equity and debt co-led by Accel and Elevation Capital in August. The current round is expected to be led by WestBridge, say sources.
“WestBridge is leading the round with $30-35 million while the remaining $20 million will come from existing investors Accel, Elevation and others,” said one of the people, requesting anonymity.
Fashinza connects family-run SMEs to the cloud with their mobile-based production management and visibility software. It also solves credit for fashion brands and suppliers in cross-border transactions through its Buy Now Pay Later program.
“The term sheet has been signed and if nothing goes at the last moment, the Series B round will materialise in a few weeks from now,” said the second person who also wished not to be named. Fashinza’s valuation will range between $300 and $350 million.”
The new round is coming at a time when Fashinza claims growth at a scorching pace. It claimed a growth of 20X during the year ending August 2021. Apart from India, the company has a presence in 10 countries including the US, Canada, the UK and the Middleeast.
According to sources, the round will also have a debt component.
Queries sent to Fashinza, WestBridge, Accel and Elevation didn’t elicit an immediate response. We will update the story as and when they respond.
While Fashinza doesn’t have any direct competitors, it indirectly competes with Udaan’s fashion vertical and Flipkart-Amazon’s wholesale businesses.