Exclusive: GIVA Raises INR 102 Cr To Open New Stores

SUMMARY

The fundraise comprised INR 52 Cr equity infusion from Alteria Capital and INR 50 Cr debt from Northern Arc

GIVA's board passed a resolution to raise the sum through issuance of Series B2 preference shares and Series B1 debentures

This comes at a time when GIVA's rival BlueStone is gearing up for its INR 1,000+ Cr IPO

D2C jewellery brand GIVA has raised INR 102 Cr (about $11.7 Mn) in a mix of equity and debt from Alteria Capital and Northern Arc.

As per the company’s regulatory filings, GIVA allotted 1,360 Series B2 compulsorily convertible cumulative partly paid preference shares at an issue price of INR 14,700 apiece to Alteria Capital Fund III to secure INR 52 Cr in equity.

It also raised an additional INR 50 Cr in debt funding from Northern Arc through allotment of 5,000 Series B1 non-convertible debentures at an issue price of INR 1 Lakh each.

The Premji Invest-backed jewellery startup said it plans to deploy the capital primarily for general corporate purposes and setting up new retail outlets. At present, it operates 199 stores spanning across Tier I and II cities like Bengaluru, Pune, Hyderabad, Mumbai, Delhi NCR, Ahmedabad, Dehradun, Surat, Indore, among others.

It is unclear if the latest fundraise is part of an ongoing round. GIVA did not immediately respond to Inc42’s request for comment.

This is the second fundraise by the startup in the last five months. In October last year, GIVA netted INR 255 Cr (about $30.3 Mn) in a mix of equity and debt as part of its extended Series B funding round led by Premji Invest.

The jewellery startup then said that it would use the funds to increase its offline presence and bolster its lab-grown offerings.

Founded in 2019 by Ishendra Agarwal, Nikita Prasad and Sachin Shetty, GIVA initially sold authentic 925 fine silver jewellery but later diversified into 14K and 18k gold and lab-grown diamond jewellery.

The brand retails its products through physical stores it operates across the country as well as via shop-in-shop model with Shoppers Stop and other chains.

In 2023, GIVA raised INR 270 Cr ($32.9 Mn) in a Series B funding led by Premji Invest. The round also saw participation from existing investors Aditya Birla Ventures, Alteria Capital and A91 Partners.

The Aditya Birla Ventures-backed jewellery startup’s net loss widened 30% to INR 58.7 Cr in the fiscal year 2023-24 (FY24) from INR 45.2 loss it reported a year ago, primarily due to a sharp increase in procuring metals.

The cost of procurement of metals jumped 55% to INR 114.9 Cr during the year from INR 74.3 Cr in FY23.

Its operating revenue, however, zoomed 66% to INR 273.6 Cr in FY24 from INR 165 Cr in the previous fiscal year.

GIVA competes against the likes of Tata Group-owned CaratLane, Kushal’s, Palmonas, Voylla, among others, in the Indian online jewellery market, which is expected to become a $3.7 Bn opportunity by 2025. The competition is expected to intensify with Tiger Global-backed wealthtech startup Jar having launched its own D2C jewellery brand Nek.

The fundraise by GIVA comes at a time when rival BlueStone is gearing up for a public listing amid a boom in new-age tech IPOs in the country. In December 2024, BlueStone filed its draft red herring prospectus (DRHP) with SEBI for INR 1,000+ IPO.