Myntra gets $125M infusion from Singapore parent company

Fashion ecommerce platform Myntra has secured Rs 1,062.5 crore ($125 million) from its Singapore-based parent company FK Myntra Holdings.

Myntra's board has allotted 19,43,753 equity shares at an issue price of Rs 5,466 per share through a rights issue, raising the stated amount, according to a regulatory filing accessed from the Registrar of Companies.

The development was first reported by Entrackr.

Walmart-backed Flipkart had infused $81 million in Myntra's holding company in February earlier this year.

Flipkart had acquired Myntra in 2014 for $240 million.

These developments come just a year after Myntra clocked profitability. In FY24, Myntra posted a surprise profit of Rs 30.9 crore, compared to a loss of Rs 782.4 crore in FY23. During the year, its operating revenue grew by 15% to Rs 5,1222 crore.

Earlier this month, the vertical marketplace launched the Myntra Global service in Singapore to tap into the Indian diaspora in the region.

Meanwhile, the company has been ramping up its delivery timelines to cater to a growing segment of users getting used to quick commerce. In November last year, the platform launched the 30-minute delivery service M-Now for selected assortments in some pin codes.

Along with growing competition from horizontal players including Zepto and Blinkit, the quick-commerce space has seen significant interest from newer startups such as Slikk, a fashion marketplace offering 60-min delivery.

There is also increased activity in the apparel market with the return of global giant Shein to India in partnership with Reliance Retail.