Aukera raises $15M led by Peak XV to expand retail presence
Bengaluru-based Aukera aims to scale its lab-grown diamond retail network as consumer interest in sustainable fine jewellery rises.
Lab-grown diamond jewellery brand Aukera has raised $15 million in a funding round led by Peak XV Partners, with participation from existing investors including Fireside Ventures, Sparrow Capital, Prath Ventures, and Alteria Capital.
The Bengaluru-based company said it will use the capital to expand its retail footprint, strengthen product offerings, and invest in design and marketing capabilities.
Founded in 2023 by Lisa Mukhedkar and Kumar Saurabh, Aukera operates 13 company-owned stores in cities such as Bengaluru, Hyderabad, and across the Delhi National Capital Region. The brand is positioned in the premium jewellery segment and focuses exclusively on lab-grown diamonds, a category that has seen increased interest globally due to consumer concerns around sustainability and pricing transparency.
The funding round comes at a time of broader momentum in India’s lab-grown diamond (LGD) market. Industry estimates value the domestic LGD jewellery sector at approximately $2.6 billion, with expectations of continued growth over the next decade. Lab-grown diamonds are chemically and optically similar to mined diamonds but are produced in controlled environments using advanced technological processes. Proponents of the segment argue that the category offers greater price efficiency and reduced environmental impact.
"Driven by structural tailwinds and a strong consumer shift, Aukera is well-positioned to lead India’s fast-growing lab-grown diamonds category," said Abhishek Mohan, Principal at Peak XV Partners.
The company said its growth so far has been led by demand for larger, higher-graded diamonds at relatively accessible price points. Its retail strategy includes offering IGI-certified stones, customisation services, and a range of contemporary and traditional designs. Aukera also operates an omni-channel model combining online sales with physical showrooms in high-footfall locations.
“Aukera is challenging the status quo,” said co-founder Kumar Saurabh. “This investment is meaningful as we pursue our next phase of growth.”
Lab-grown diamonds have gained traction in several markets globally, particularly in the United States and China. While India has traditionally been a center for diamond cutting and polishing, it is now emerging as a potential growth market for LGD retail, aided by younger consumers and evolving preferences around ethical sourcing.
While some critics argue that the long-term resale value and cultural acceptance of lab-grown diamonds remain unproven in India, companies like Aukera are betting that changing consumer behaviour and rising awareness will drive greater adoption.
Fireside Ventures, which first backed the brand in 2024, said the company represents a shift in consumer expectations. “Aukera is not just another lab-grown diamond jewellery brand—it’s aiming to redefine how fine jewellery is consumed in India,” said Kanwaljit Singh, Managing Partner.
The company says it plans to scale to Rs 1,000 crore in revenue over the next five to seven years. Part of the new funding will be directed toward opening additional stores in new cities and enhancing brand visibility.
Edited by Megha Reddy