Bengaluru: Homevista Decor & Furnishings Private Limited, the parent company of brands like HomeLane, Doowup, Cubico, and Wrapzap, has announced its plan to acquire DesignCafe, a key player in the home interiors market. This acquisition, pending regulatory approval, will create the largest entity in India’s interiors sector based on projects delivered.
After the acquisition, the combined entity is projected to achieve ₹1,000 crore in revenue for FY25, a 33% increase from ₹761 crore in FY24, while also becoming EBITDA profitable. HomeLane, Doowup, and DesignCafe will continue to function as distinct brands, each serving different market segments.
The acquisition is expected to unlock substantial synergies in manufacturing, design, procurement, and technology, enhancing operational efficiency and driving innovation and customer satisfaction across the combined offerings.
Srikanth Iyer and Tanuj Choudhry, Co-Founders of HomeLane said, “We are incredibly excited and see immense potential in combining our tech-driven approach with DesignCafe’s design expertise, to create a true powerhouse in the home interiors industry. The combined entity is already at a Revenue ARR of ₹900Cr, is cash profitable and at -2% EBITDA.”
Gita Ramanan and Shezaan Bhojani, Co-Founders of DesignCafe, added, “Joining forces with HomeLane propels our vision of democratising design for Indian homeowners even further. We are thrilled to continue our journey together with HomeLane, and look forward to jointly building India’s most-loved house of interior brands.
Sandeep Singhal, managing partner of Westbridge Capital and investor in DesignCafe said, “I believe that this transaction marks the start of an exciting chapter, as it brings together two strong teams that are now the clear leaders in the Home Interior space. Both teams have shown strong execution in the past, and together, we believe that they will deliver industry-leading performance for all stakeholders. We are excited to invest in & continue to be a part of this journey.”
₹225 Crore Fundraising Round
Alongside the acquisition, HomeLane has announced a ₹225 crore funding round. This round includes contributions from existing investors of both HomeLane and DesignCafe, as well as new investment from Hero Enterprise.
Hero Enterprise’s participation underscores their strong belief in the strategic vision and growth potential of the combined entity. Sunil Kant Munjal, Chairman of Hero Enterprise, stated, “We are excited to support HomeLane in this ambitious expansion. Our investment demonstrates confidence in their business model and creates meaningful synergies with Hero Realty. We look forward to the innovation and growth this partnership will foster.”
