D2C fashion brand Snitch has secured $39.6 million (approximately INR 338.4 crore) in its Series B funding round, with 360 ONE Asset as the lead investor.

Founded by Dungarwal in 2019, Snitch began its journey in the offline fashion and apparel industry.  However, due to the Covid-19 disruption, the startup had to change its operations to an online format.  It offers a variety of products such as shirts, jackets, hoodies, co-ords, sweaters, and innerwear through its own website, physical stores, and e-commerce platforms.

According to a statement from Snitch, the round also included participation from Ravi Modi Family Office (the founders of Manyavar), current investors IvyCap Ventures and SWC Global, as well as several angel investors.

Related: Snitch: Competitors, Future Plans and Innovations

According to Snitch, the funding would be utilized to boost the number of its offline retail outlets from over 55 at present to more than 100 by the conclusion of 2025. 

Some of the newly obtained funds will be allocated to entering the quick commerce sector, launching new product categories in apparel and lifestyle, and piloting operations in international markets.

Snitch, a D2C fashion brand, is seeking to raise INR 278.93 Cr (approximately $33 Mn) in a new funding round led by 360 Asset Management Fund, with contributions from existing investors IvyCap Ventures and SWC Global.

Snitch’s board approved a special resolution on May 27 to issue 1,755 Series B compulsory convertible preference shares (CCPS) at a nominal value of INR 10 and an additional charge of INR 15.89 Lakh, using preferential allotment.

While the 360 Asset Management Fund will invest INR 220.12 crore, IvyCap Ventures and SWC Global will each contribute INR 29.40 crore.

Siddharth Dungarwal, the founder and CEO of Snitch, informed media that the funding is part of a larger round, without revealing additional details.

This development is central to Snitch’s plans, which are based in Bengaluru, for enhancing its range of products and for expanding both its offline stores and its global presence.

In an exclusive interview with media last month, Dungarwal stated that the startup intends to venture into the categories of pluswear, bags, footwear, and sunglasses within the current financial year.  Additionally, it plans to launch 50 new stores over the next five months.

In addition to strengthening its strategy for entering the Indian apparel market, the startup aims to test its operations in the Middle East.

To date, the startup has secured a total of $13.4 million in funding. In 2023, it raised INR 110 Cr in a round co-led by IvyCap Ventures and SWC Global.

In addition to strengthening its strategy for entering the Indian apparel market, the startup aims to test its operations in the Middle East.

Snitch’s operating revenue skyrocketed by 127.89% to INR 243 Cr in the financial year 2023-24 (FY24), up from INR 106.6 Cr in the previous year.  The startup’s net profit surged 1.3 times to INR 4.4 crore in the reviewed year, up from INR 3.1 crore in FY23, bolstered by its robust top-line performance.

Dungarwal shared that, based on Snitch’s unaudited financial figures, the company recorded an operating revenue of INR 520 Cr in FY25.  He also informed Inc42 that the startup derives 40-45% of its revenue from its physical stores.  At present, it runs a total of 51 shops.

The startup, supported by IvyCap Ventures, has set an objective of reaching a top line of INR 1,000 Cr in FY26 and intends to gear up for its IPO once it reaches a bottom line of INR 100 Cr.