Delhi-based start-up AARK World Pvt. Ltd that runs a premium fashion rental service (Rent it Bae) has acquired a start-up — Flyrobe — in a part-cash and part-stock deal valued at Rs 60 crore. The new entity, formed after the merger of the two businesses, plans to launch 15 stores in the next one year in India as well as Dubai, London and the US through a franchise model.
Currently, Flyrobe has stores in Delhi and Ahmedabad. The new stores will be opened in Pune, Bengaluru, Hyderabad and Chandigarh. With its aggressive expansion plan, the fashion rental start-up hopes to reach profitability within a year, the company said.
Luxury fashion rental business market estimated at USD 3-4 billion in India has witnessed a boom over the past few years, thanks to the surging interest among consumers on preferring rentals over purchasing designer wear.
Said AARK World Pvt that it has raised funds from its existing investor GEMS Partners, a micro VC fund based in Delhi and is poised to go for a larger Series A. Flyrobe’s previous investor STRIVE (formerly known as GREE Ventures) also remains invested in the new company.
The company said it will also introduce a new feature — Tryrobe — in its mobile app to integrate virtual trial experience at all the brand stores and Flyrobe’s apps (both ioS and Android) by next quarter. “We believe this first-of-its-kind technology will be a differentiator giving a major boost to our online business,” said Aanchal Saini, CEO, Flyrobe. The company’s services are accessible to more than one million customers in over 30 cities through its website, apps and stores.