Myntra Design, a fashion shopping platform owned by Flipkart and based in India, has received ₹1,062.5 crore (about $125 million) in funding from its parent company, FK Myntra Holdings, which is based in Singapore.
Before this, Flipkart had invested $81 million in Myntra’s parent company in Singapore.
Myntra’s board approved the issue of 19,43,753 new shares, each priced at ₹5,466, through a rights issue.
This is happening at a time when online shopping platforms are facing tough competition, especially with the return of Chinese fashion brand Shein to the Indian market through Reliance Retail.
Flipkart acquired Myntra in 2014 for $240 million.
Myntra became profitable in the financial year that ended in March 2024, earning a profit of ₹30.9 crore. This is a big improvement compared to the previous year, when it had a huge loss of ₹782.4 crore.
During the same time, Myntra’s revenue from its main business crossed ₹5,100 crore.
In November 2024, Myntra launched a new feature called M-Now to enter the quick commerce market. It allows customers to get fashion and beauty products delivered in just 30 minutes to 2 hours. This move helps Myntra compete with other fast-delivery services like Zepto, Blinkit, and Instamart.
Flipkart, which owns Myntra, is also planning to move its headquarters back to India. It follows other companies like Pine Labs, Razorpay, and Meesho, who are doing the same before launching their shares on the stock market.
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