The company will utilise the funds to expand its offline footprint, scale its direct-to-consumer (D2C) business.
Kisah Apparels, a Kolkata-based men’s ethnicwear brand, has emerged as a standout in India’s fashion landscape, blending tradition with modern flair for Gen Z and millennial consumers. In a significant milestone announced in June 2025, the company raised ₹13 crore ($1.52 million) in a pre-series A funding round, led by Sagar Daryani, the visionary founder of Wow! Momo. This infusion of capital, backed by prominent investors like Apoorv Salarpuria, Rahul Todi, Vinod Dugar, and Inflection Point Ventures, signals strong confidence in Kisah’s growth potential. With plans to expand its offline presence, scale its direct-to-consumer (D2C) operations, and amplify brand-building efforts, Kisah is poised to become a household name in men’s ethnicwear. This blog dives into the details of the funding, Kisah’s journey, its strategic roadmap, and its impact on the evolving ethnicwear market.
A Game-Changing Funding Round
The ₹13 crore pre-series A funding round, closed in June 2025, marks a pivotal moment for Kisah Apparels. Led by Sagar Daryani, whose success with Wow! Momo has made him a prominent figure in India’s entrepreneurial ecosystem, the round attracted a diverse group of investors. Apoorv Salarpuria of Salarpuria Investments, Rahul Todi (CEO of Shrachi Group), Vinod Dugar (CEO of RDB Group), and Inflection Point Ventures, a venture capital firm known for backing early-stage startups, all participated, reflecting Kisah’s appeal across business and investment circles.
The funds are earmarked for three key areas: expanding Kisah’s offline retail footprint, scaling its D2C operations, and investing in brand-building initiatives. Yash Sarawagi, co-founder and CEO of Kisah Apparels, highlighted the strategic importance of the funding in a statement: “E-commerce gave us pan-India reach and deep customer insights, which are now fueling our D2C and offline growth, backed by data, customer pull, and positive cash flow at the company level.” This roadmap underscores Kisah’s ambition to create a seamless omnichannel experience, blending the accessibility of online platforms with the tactile appeal of physical stores.
Kisah’s Remarkable Growth Trajectory
Founded in 2018 by Yash Sarawagi, a former investment banker, and Yashwi Ladasaria, a former EY consultant, Kisah Apparels started as a marketplace-first brand, selling on platforms like Amazon and Flipkart. The company later transitioned to a D2C model, leveraging e-commerce to build a pan-India presence. Today, Kisah operates as an omnichannel brand, with two flagship physical stores in Kolkata and plans to open three more in major Indian cities by the end of 2025.
Kisah’s financial performance is equally impressive. The company claims to have grown its revenue run rate from ₹40–45 crore to over ₹100 crore, a remarkable leap that reflects strong consumer demand for its trendy, affordable ethnicwear. Notably, Kisah has maintained positive operating cash flow and profitability at the profit-after-tax (PAT) level, a rare feat for a young fashion brand. For FY24, Kisah reported operating revenue of ₹25.4 crore, up 42% from ₹17.8 crore in FY23, with a net profit of ₹93 lakh, according to VCCEdge data. The company projects an annual run rate of ₹80–90 crore for FY25, with some sources citing ₹100 crore, signaling robust growth.
Targeting Gen Z and Millennials
Kisah Apparels has carved a niche by offering high-fashion ethnicwear tailored for young Indian men, particularly Gen Z and millennials. The brand’s product catalog includes kurtas, jackets, pants, and more, crafted from materials like silk and cotton, designed to modernize traditional styles. Sarawagi emphasized this focus, stating, “Young consumers want to embrace ethnicwear but are bored of seeing the same styles their fathers and grandfathers wore. Our core objective is to modernize the category to suit the preferences of the youth.” This approach has resonated with fashion-forward, budget-conscious buyers, driving Kisah’s 55–60% compounded annual growth rate (CAGR) over the past four years.
The brand’s success lies in its data-driven approach. Kisah has developed internal analytics systems to leverage insights from its marketplace and D2C channels, informing decisions on product design, supply chain, and marketing. Approximately 73% of its revenue comes from marketplaces, 15% from D2C channels, and the rest from international markets like the US and UK. This diversified revenue stream, coupled with a focus on customer loyalty, positions Kisah to capture a larger share of the growing men’s ethnicwear market, valued at $3.6 billion globally in 2023 and projected to grow at a 7% CAGR through 2030.
The Vision Behind Kisah’s Omnichannel Strategy
Kisah’s strategic roadmap is built on expanding touchpoints, strengthening customer loyalty, and creating a resilient omnichannel presence. The company’s offline expansion is a key priority, as physical stores enhance brand visibility and allow customers to experience the quality of its products firsthand. With two stores already operational in Kolkata, Kisah plans to launch three additional outlets in metro cities, targeting high-traffic locations to attract young consumers. Sarawagi noted, “Offline retail requires a stronger brand pull to attract people to our stores,” underscoring the need for robust brand-building efforts.
The D2C channel is another focus area, offering Kisah greater control over customer relationships and margins. The brand’s e-commerce success has provided deep insights into consumer preferences, which now inform its offline strategy. Investments in marketing and product development will further enhance Kisah’s appeal, with plans to introduce new designs and personalized offerings to build deeper connections with its audience.
Sagar Daryani’s Bet on Kisah
Sagar Daryani, the lead investor, brings more than capital to Kisah. As the co-founder and CEO of Wow! Momo, a quick-service restaurant chain valued at over ₹2,400 crore, Daryani has a proven track record of scaling consumer-focused brands. His investment in Kisah reflects his belief in the brand’s potential to disrupt the men’s ethnicwear market. “Any successful brand today must be rooted in a unique consumer insight and solve a real problem in a large market,” Daryani said, praising Kisah’s focus on its target customers and strong performance metrics.
Daryani’s involvement is also strategic. His experience in expanding Wow! Momo to over 630 outlets across 35 cities, with plans for 1,500 stores by 2028, offers valuable insights for Kisah’s offline push. His previous investments, such as in Kolkata-based e-commerce platform Rare Planet in 2020, demonstrate his knack for backing promising consumer brands, making him a key ally for Kisah’s growth.
The Role of Other Investors
The funding round’s diverse investor base adds depth to Kisah’s support system. Apoorv Salarpuria of Salarpuria Investments, part of the Salarpuria Group, brings expertise in real estate and consumer markets. Rahul Todi, CEO of Shrachi Group, and Vinod Dugar, CEO of RDB Group, both Kolkata-based conglomerates, contribute local market knowledge and business acumen. Inflection Point Ventures, with a portfolio of over 100 startups, including health tech firm Iom Bioworks, provides venture capital expertise and access to a robust network. Together, these investors strengthen Kisah’s ability to execute its ambitious plans.
The Broader Context: Men’s Ethnicwear Market
Kisah’s rise comes at a time when India’s ethnicwear market is undergoing a transformation. Driven by rising disposable incomes, cultural pride, and the influence of social media, young consumers are embracing ethnicwear for occasions beyond weddings, such as festivals and casual celebrations. The men’s segment, in particular, is seeing innovation, with brands like Manyavar, Fabindia, and newer players like Tasva competing to capture market share. Kisah’s focus on affordable, trendy designs positions it to stand out, especially among Gen Z and millennials who prioritize style and value.
The omnichannel model is also gaining traction, as consumers seek flexibility in how they shop. Kisah’s blend of e-commerce, D2C, and offline stores aligns with this trend, offering a seamless shopping experience. The brand’s international presence in markets like the US and UK further highlights its global appeal, tapping into the diaspora’s demand for modern Indian ethnicwear.
Challenges and Opportunities Ahead
While Kisah’s growth is impressive, it faces challenges in a competitive market. Scaling offline stores requires significant capital and operational expertise, and maintaining profitability amid expansion will be critical. Competing with established brands and managing supply chain complexities in the textile industry are additional hurdles. However, Kisah’s data-driven approach, positive cash flow, and strong investor backing provide a solid foundation to navigate these challenges.
The funding also opens new opportunities. With plans for a larger Series A round, as noted by VCCircle, Kisah could accelerate its expansion and explore innovations like personalized ethnicwear or sustainable fabrics. The brand’s focus on customer insights and loyalty positions it to build a lasting connection with its audience, potentially making it the go-to name in men’s ethnicwear.
Why Kisah’s Funding Matters
Kisah Apparels’ ₹13 crore funding is more than a financial milestone; it’s a testament to the potential of India’s ethnicwear market and the power of consumer-focused innovation. By targeting young, fashion-forward consumers and blending tradition with modernity, Kisah is redefining men’s ethnicwear. The backing of Sagar Daryani and other prominent investors signals confidence in its vision, while its omnichannel strategy positions it for sustained growth.
As Kisah opens new stores, scales its D2C operations, and strengthens its brand, it is poised to capture a significant share of the men’s ethnicwear market. Yash Sarawagi and Yashwi Ladasaria’s journey from a marketplace-first startup to an omnichannel brand is an inspiring story of entrepreneurial grit and strategic foresight. With a run rate exceeding ₹100 crore and a clear roadmap, Kisah Apparels is on track to become a national and global leader in ethnic fashion.
Disclaimer: This blog is based on publicly available information and intended solely for informational purposes.
Source: News reports and company statements, June 2025.
