Exclusive: Bonito Designs to raise $9.5 Mn from Tomorrow Capital

Interior designing company Bonito Designs is set to raise Rs 81 crore (approximately $9.5 million) from its holding company Tomorrow Capital.

This funding comes after a two-year hiatus since it last raised Rs 40 crore in June 2023 from HDFC and Tomorrow Capital.

The board at Bonito Designs passed a special resolution in May this year to issue 28,357 class A equity shares at an issue price of Rs 28,564 to Tomorrow Capital to raise Rs 81 crore or $9.5 million, its regulatory filing accessed from Registrar of  Companies (RoC) shows.

As per its filing, the company has already received Rs 51 crore, the rest of the amount is expected to follow shortly.

The company will be valued at around Rs 531 crore ($62.5 million) post-allotment, marking a 18% drop from its Rs 650 crore valuation in the previous round.

Founded in 2012 by Sameer AM and Vathsala CR, Bonito Design offers end-to-end solutions and caters to both luxury and budget homes through curated, cost-effective designs.

The Bengaluru-based company has so far raised around $22 million to date. Following the allotment, Tomorrow Capital will extend its stake in the company to 67% (on a fully diluted basis), as per startup data intelligence platform TheKredible. 

Bonito Designs recorded a nearly 50% increase in operating revenue to Rs 153.4 crore in the fiscal year ended March 2024 from Rs 104 crore in FY23. However, the company’s losses more than doubled to Rs 66.9 crore during the same period.

The company competes with leading players in the space, including Livspace, HomeLane, and DesignCafe, which was recently acquired by HomeLane.