Singapore-based fashion marketplace Zilingo has raised ₹1,582 crores ($226 million) in its latest Series D funding round that has valued the startup close to a billion dollars taking it to the cusp of becoming a unicorn. Existing investor Sequoia Capital along with new investors like Singapore’s government-owned investment company Temasek and investment fund EDBI has led the investment.
Burda Principal Investments and Sofina along with existing backers also participated in the funding round, according to an official statement by the startup. Zilingo has plans to use the freshly raised capital to build its brand as well as improve its technology and strengthen the supply chain. The startup has raised ₹2,149 crores ($307.9 million) in five funding rounds to date.
Founded by Indian-origin Ankiti Bose and Dhruv Kapoor in 2015, Zilingo has developed a software called Z-Seller that takes care of inventory management, logistics, invoicing and analytics. The startup sells this software to customers ranging from small and medium enterprises to mid-sized brands. The software also connects clients with multiple logistics and payment APIs that provides them with aggregated prices.
“We are going deeper into the supply chain, and will go into setting up tech infrastructure with factories, doing cloud factories, and helping fabric procurement,” Ankiti Bose, chief executive of Zilingo, told ET over a phone call.
“Instead of the merchant having to undertake a price war or relying on discounts, because of the increased margins, they can price their goods better and sell better, without having to bleed cash,” Bose said.
Apart from Z-Seller, clients can also sell on the Zilingo platform itself. The startup’s B2B platform Zilingo Asia Mall connects merchants and brands with manufacturers. This eliminates that middlemen and merchants are able to save considerable capital. Zilingo earns its revenue by taking commissions on sales through the platform. The startup’s consumer-focused business expands through Thailand, Philippines and Indonesia and Zilingo is planning to soon launch in Australia. The company has its engineering centre in Bengaluru.