Virgio, a fast-fashion startup founded by former Myntra chief, is closing down less than a year after securing funding with a valuation exceeding $160 million. According to sources familiar with the matter, the company’s website now carries a message stating that the beloved fast-fashion brand is no longer available.
Virgio’s CEO, Amar Nagaram, expressed his surprise at this development in a LinkedIn post, marking it as a pivotal moment for the startup.
In December of the previous year, Virgio had raised $37 million in a Series A funding round from investors such as Prosus Ventures, Accel, and Alpha Wave Global, which had valued the company at $161 million.
Data from TheKredible reveals that Virgio’s founder, Nagaram, holds approximately 52% of the company’s shares. Following him, Accel and Prosus have ownership stakes of 16.35% and 6.25%, respectively. Notably, Mukesh Bansal, co-founder of Myntra and Cult.fit, is also a substantial shareholder in the company.
Virgio aimed to address changing consumer fashion preferences, particularly among Gen Z and older millennials, by streamlining its design, production, and sourcing processes. The startup offered a wide range of clothing options, including casual, festive, and traditional wear, with regular additions to its catalog. However, it had a relatively small daily active user base of fewer than 30,000, as reported by mobile insight platform SensorTower.
(Source: Manish Singh | TechCrunch | Harsh Upadhyay | EnTrackr)
