In a landmark move, the renowned fast fashion omnichannel ethnic wear brand, Libas, has successfully secured a significant investment of $18 million (approx. Rs 150 crore) from IAF Series 5, a fund managed by ICICI Venture. This marks a pivotal moment for Libas, as it embarks on its first external funding round since its inception a decade ago.
With this infusion of capital, Libas is poised to fortify its omni-channel presence and embark on an ambitious expansion strategy, aiming to proliferate its exclusive brand and retail outlets across major metropolises as well as tier I, II, and III cities in the coming years. The company’s vision, as articulated in a recent press release, entails leveraging its brand cachet, design prowess, technological infrastructure, and robust supply chain network to establish a seamless omnichannel business model.
Under the dynamic leadership of Sidhant Keshwani, Libas has emerged as a trailblazer in the realm of ethnic wear, offering a diverse array of traditional and fusion silhouettes tailored to the modern woman. Its footprint spans both online platforms such as Flipkart and Myntra, as well as offline channels including Exclusive Brand Outlets (EBOs), large-format stores, and multi-brand outlets, ensuring widespread accessibility to its coveted collections.
A notable portion of Libas’ revenue stream emanates from its direct-to-consumer (D2C) channels, a testament to its robust consumer engagement strategies and resonant brand identity. Bolstering its market presence further, Libas recently announced popular Bollywood actress Kiara Advani as its brand ambassador, amplifying its appeal to a broader audience segment.
The financial trajectory of Libas underscores its remarkable growth trajectory, with reported revenues surpassing the Rs 500 crore milestone in FY24. This upward trajectory appears all the more attainable considering the firm’s impressive operating revenue of Rs 365 crore in the fiscal year ending March 2023, accompanied by a commendable profit margin of Rs 13.8 crore during the same period.
Libas’ successful funding round adds to a burgeoning trend within the fast fashion landscape, with several prominent brands including Newme, DSLR, French Crown, and Virgio securing substantial investments in recent years. Notably, Virgio, spearheaded by former Myntra CEO Amar Nagaram, has garnered attention amidst reports of a strategic pivot following its initial funding endeavors.
This strategic partnership with ICICI Venture heralds a new chapter of growth and innovation for Libas, as it endeavors to redefine the contours of the Indian ethnic wear market through a potent blend of digital innovation, offline expansion, and omnichannel excellence. With a steadfast commitment to quality, creativity, and consumer-centricity, Libas remains poised to captivate the hearts and wardrobes of fashion enthusiasts nationwide, setting new benchmarks of success along the way.