In a significant move for the Indian fashion industry, Aditya Birla Group’s TMRW House of Brands has invested Rs 125 crore ($15 million) in men’s apparel brand WROGN. This investment not only strengthens TMRW’s portfolio, now encompassing eight Indian fashion brands but also sets the stage for WROGN’s ambitious growth plans.
TMRW has acquired a 16% stake in WROGN, valuing the Bengaluru-based company at approximately $105 million. This partnership is expected to bolster WROGN’s presence on major fashion platforms like Myntra, while also facilitating the expansion of its offline footprint and scaling up its direct-to-consumer (D2C) business. The company aims to become a leading brand in the men’s casual and activewear category, targeting Rs 1,500 crore in revenue over the next five years.
Founded in 2014 by siblings Anjana and Vikram Reddy, WROGN has made a name for itself in the casual wear market. With a diverse product range that includes casual wear, footwear, and accessories, WROGN has leveraged the influence of cricket star Virat Kohli to expand its presence through exclusive brand outlets and strategic e-commerce partnerships.
Since its inception, WROGN has raised around $90 million from investors like Accel, Flipkart, Virat Kohli, and Sachin Tendulkar. In November 2020, Flipkart invested an undisclosed amount in WROGN’s Series F round. Flipkart is also an investor in Hrithik Roshan’s HRX, a competitor to WROGN.
Despite its rapid growth in previous fiscal years, WROGN’s growth remained flat in FY23, with revenue increasing by only 2.3% to Rs 344 crore from Rs 336 crore in FY22. However, the company’s losses surged by 33% to Rs 44.26 crore from Rs 33.63 crore in the same period. The firm’s financial performance for FY24 is yet to be disclosed.
According to a report by TMRW and Bain & Company, the fashion and lifestyle sector is India’s second-largest consumer category, valued at $110 billion, with the online segment accounting for $11 billion. The online fashion market is projected to grow to approximately $35 billion by FY28, with a compound annual growth rate (CAGR) of 25%.
TMRW has previously invested in several other fashion brands, including The Indian Garage Co., Bewakoof, Nauti Nati, Juneberry, Urnabo, Veirdo, and Nobero. This latest investment in WROGN aligns with TMRW’s strategy to expand its footprint in the burgeoning Indian fashion market.
Aditya Birla’s TMRW investment in WROGN represents a strategic move to capitalize on the growing demand in India’s fashion industry. With this infusion of capital, WROGN is well-positioned to enhance its market presence, innovate its product offerings, and achieve its ambitious revenue targets, solidifying its place as a leader in the men’s casual and activewear
