MUMBAI: Dwelling-grown non-public fairness fund Gaja Cash and worldwide fund L Catterton are in individual discussions to acquire about 40% stake in major women’s lingerie retailer Zivame.

In this proposed secondary transaction, the 40% stake held by present traders — Ronnie Screwvala-promoted Unilazer Ventures and Malaysian sovereign fund Khazanah Nasional Bhd — will be acquired by the new investor in a deal valuing the brand at $a hundred million (about Rs seven-hundred crore), in accordance to two people knowledgeable of the improvement. Even so, the discussions with Gaja Cash are in an superior phase, he extra.

At the moment, engineering-focused expense business Zodius Cash is the biggest shareholder in Zivame with about 60% stake. Zivame is the second biggest promoting women lingerie brand in India after Jockey. In India’s $three billion women lingerie industry, about 40% revenue arrive from organised players. The industry is envisioned to access $6 billion by 2025.

Women’s lingerie retailer Zivame has begun original discussions with non-public fairness cash to elevate about $50 million (Rs 350 crore), ET first noted in September.

In 2015, Zivame experienced lifted $40 million (Rs 250 crore) in its Sequence C funding spherical from Zodius Technological know-how Fund and Khazanah Nasional Bhd. Zodius experienced improved its stake by getting out early venture cash traders, Kalaari Cash and IDG Ventures India, in 2018. Both of those Kalaari and IDG Ventures experienced invested in Zivame in early 2012.

Gaja Capital, L Catterton eye 40% stake in Zivame
Zivame, which is run by Bengaluru primarily based Actoserba Active Wholesale, was launched by Richa Kar in 2011. Just after setting up out as an aggregator, Zivame experienced moved into a non-public label business in 2016. Zivame owns well-known non-public label brand names Penny, Coucou and far more than ninety% of its earnings comes from its in-house products and solutions.

Zivame, the most funded participant in women’s lingerie segment, competes with Jockey, Enamor, Clovia, Amante, Quite Strategies, Cilory and Shyaway. The enterprise posted a earnings of Rs a hundred and forty crore in FY19 and it expects a internet earnings of Rs 230 crore in FY20.

Shilpa Kulkarni, MD and co-founder of Zodius Cash, spokespersons with Zivame and Gaja Cash declined to comment. Mails sent to Unilazer and Khazanah went unanswered, while L Catterton spokesperson declined to comment.

Rival brand Clovia, run by Delhi primarily based Purple Panda Fashions, experienced lifted $ten million (Rs 71 crore) in a Sequence B spherical led by AT Cash, past calendar year. PrettySecrets.com, the Mumbai-primarily based on line lingerie system, is also backed by RB Investments Pte and Orios Venture Partners.

Started in 2004, Gaja Cash manages property of about $five hundred million across 3 cash and invested in Jiggs Kalra-owned Substantial Places to eat, RBL Lender, broking community Bonanza, TeamLease, Bakers Circle, Carnation, Kinara NBFC, Suryoday and Avendus. L Catterton (previously L Cash) is one particular of the important traders in the US lingerie brand ThirdLove.