Rare Rabbit, the contemporary fashion brand known for its cutting-edge designs and premium quality, has announced a significant milestone in its growth journey. Nikhil Kamath, co-founder of Zerodha, and the Manyavar Family Office have joined Rare Rabbit’s latest funding round, contributing to the Rs 500 crore investment.
Valued at around Rs 2,200 crore, Rare Rabbit has established itself as a prominent direct-to-consumer (D2C) brand in the fashion industry.
The startup, which has been bootstrapped until now, reported impressive financial results in fiscal 2024. Revenue was over Rs 600 crore, and operating profit exceeded Rs 100 crore, representing a year-on-year growth of over 60%, compared to the Rs 376 crore in operating revenue reported in fiscal 2023.
Nikhil Kamath, a prominent figure in the Indian fintech space and a seasoned investor, brings a wealth of experience and strategic insight to Rare Rabbit. The Manyavar Family Office, associated with the celebrated ethnic wear brand Manyavar, adds further credibility and expertise in the fashion industry.
“We are thrilled to have Nikhil Kamath and the Manyavar Family Office as part of our investor group,” said Manish Poddar, CEO and Founder of Rare Rabbit. “Their investment is a testament to the potential of Rare Rabbit and our commitment to redefining contemporary fashion. This funding will enable us to expand our product lines, enhance our retail presence, and strengthen our brand positioning.”
Rare Rabbit has been making waves in the fashion industry with its stylish and innovative collections that cater to the modern consumer. The brand has successfully carved a niche for itself with its unique blend of international aesthetics and Indian sensibilities.
“Rare Rabbit represents the future of fashion in India, combining creativity with business acumen. We see immense potential in their growth story and are excited to support their vision,” said Nikhil Kamath.
The Rs 500 crore funding round is set to accelerate Rare Rabbit’s expansion plans, including the opening of new stores in key markets, scaling up its online platform, and exploring international opportunities. The brand also plans to invest in technology and innovation to enhance customer experience and operational efficiency.
The involvement of the Manyavar Family Office underscores the synergy between ethnic and contemporary fashion segments, providing Rare Rabbit with valuable industry insights and access to a broader customer base.
The report said, the round will involve A91 Partners contributing Rs 350 crore, while Ravi Modi’s family office and Nikhil Kamath will collectively invest the remaining Rs 150 crore.
The transaction includes approximately Rs 250 crore in primary capital for Rare Rabbit and the remaining Rs 250 crore as a secondary share sale by Akshika and Manish Poddar, the husband-wife duo behind the brand.
“As the lines between ethnic and contemporary fashion continue to blur, we believe that Rare Rabbit is well-positioned to capture the evolving preferences of today’s consumers,”
said Ravi Modi, Chairman of the Manyavar Family Office.
“Our investment reflects our confidence in their vision and our commitment to supporting innovative brands.”
This strategic funding round marks a significant step forward for Rare Rabbit, setting the stage for sustained growth and industry leadership. The brand’s focus on quality, design, and customer satisfaction will continue to drive its success in the competitive fashion landscape.
