Zouk, a burgeoning direct-to-consumer brand specializing in bags and luggage, has successfully raised $10 million in its Series B funding round, led by Aavishkaar Capital. This latest investment round attracted notable participation from Stellaris Venture Partners, Titan Capital, Sharrp Ventures, and the JJ Family, bringing Zouk’s total funding to an impressive $14.5 million.
The fresh capital will enable Zouk to accelerate its growth plans, focusing on expanding its network of exclusive brand outlets with a target of establishing 75 stores. The company also intends to enhance its marketing strategies and supply chain operations while investing in talent across various business verticals.
Founded in 2015 by Disha Singh and Pradeep Krishnakumar, Zouk has carved a niche in the market with its range of handmade products, including laptop bags, tote handbags, sling bags, and wallets—all crafted from 100% vegan leather sourced locally in India. With over 700,000 satisfied customers, Zouk is now venturing into the luggage segment, launching new backpacks and trolley bags, anticipating substantial growth in this category.
The startup is expected to achieve a valuation in the vicinity of $50 million (approximately ₹400 crore) following this funding round. According to TheKredible, a startup data intelligence platform, Zouk was valued at around $7 million during its previous funding round.
In their last funding round, co-founders Disha Singh and Pradeep Krishnakumar each held a 31% stake in the company, while Stellaris Venture Partners emerged as the largest external shareholder with a 19.63% stake.
For the fiscal year ending March 2023, Zouk reported revenue of ₹47.41 crore, a significant increase from ₹21.82 crore in FY22. However, the company’s losses also widened to ₹10.55 crore, compared to ₹77 lakh in the previous year. Zouk has yet to disclose its financial figures for FY24.
Aavishkaar Capital, the lead investor in this round, has a track record of supporting various startups, including AgroStar, Altum Credo, Ergos, GoDesi, Milk Mantra, and Newtrace, showcasing their commitment to nurturing innovative businesses in India.
