Mukesh Bansal, known for his fitness website Cult.fit and the massive Indian fashion e-commerce site Myntra is considering launching a new business. He still needs to settle on his specific plans for the new offerings or even how they will be presented, but he already knows what they might cost.
In recent weeks, Bansal and Mohit Gupta have pitched several investors, including Peak XV, Lightspeed India Partners, Accel, and Nexus Venture Partners, seeking terms that would value the holding company at over $100 million and as high as $250 million, according to people familiar with the matter. Bansal stepped down from conglomerate Tata Digital’s Neu business earlier this year.
In India’s startup scene, where the majority of such transactions typically value enterprises under $10 million, a seed-stage valuation of $100 million would be exceptional. In any case, some serial business owners in India have defied this pattern. Notably, the founders of CRED, Kunal Shah and Jupiter, Jitendra Gupta, obtained seed capital in the past at incredibly high valuations.
Additionally, Gupta and Bansal have already begun acquiring investors. Despite being uncertain how much of that promise will materialize, the pair has informed at least two investors that they have already secured a soft commitment of around $50 million.
The specifics of what the pair intends to develop are other things that are still unknown, and in this case, it’s not just to me.
Over the years, more than a dozen goods would be housed in a sort of foundry that Bansal and Gupta hope to construct. People whom the pair have pitched stated, wanting anonymity to talk freely, that investors would receive a stake in both the parent company and the holding entity for each new product.
As of two weeks ago, Bansal and Gupta were still determining which product they would develop first. A source knowledgeable about the funding conversations said the team pitched various concepts to possible investors. These include “Infosys 2.0,” a rumored improvement to the global IT services and consultancy corporation, and a female-focused alternative to Manyavar, a well-known ethnic apparel brand.
An inquiry for comment made on Monday went unanswered by Bansal. Some of these specifics were initially reported by the Indian news outlet The Arc. Bansal stated that rumors regarding his upcoming project were “completely wrong.” “I continue to be very excited about Cure,” he continued. Long-term commitment and a fit path.”
Bansal said he was considering his next actions in a podcast released this month. “I’ve always been a startup guy. I worked in four Silicon Valley firms before taking up roles with Myntra and Cure.fit. In the past five years, I have also collaborated closely with two businesses, Groww and Skyroot,” he added.
I keep sensing that pull; therefore, I’m wondering how I might do more of that. What other businesses may I start or co-start with someone else? What might be the best way to continue doing things methodically, with a firm basis and long-term planning? I should have more clarity on that in a few months or by the end of the year.
