Flipkart-owned fashion retailer Myntra has received a fresh capital infusion of $103 million from its Singapore-based parent entity — FK Myntra Holdings — ahead of its seven-day-long festive sale.
Myntra Jabong India issued 10,79,136 shares to FK Myntra Holdings, and 97,058 shares to QuickRoutes International on October 3, at a price per share of INR 6,427.
Myntra was founded by Mukesh Bansal, Ashutosh Lawania and Vineet Saxena in 2007. In 2014, the company was acquired by Flipkart at a deal value of INR 2K Cr ($290 Mn). Jabong was then acquired by Myntra in 2016 for $70 Mn. Flipkart shut down on its fashion portal Jabong in February to divert its focus on Myntra.
Amar Nagaram, CEO of Myntra said, “This festive season is going to be the biggest fashion event, not just for Myntra, but what this country has seen. It’s also going to be the biggest in terms of the selection we’ve put together — 9 lakh styles, across 5,000 brands.”
Myntra is also expecting sales momentum from tier-II and tier-III cities — which has improved since Unlock 1.0 — to continue into the festive period, and is anticipating that over 50% of its sales will come from outside Metro and tier-I cities. Overall, the company says it is anticipating a 4X increase in sales over its business as usual (BAU).