Pune-based demi-fine jewellery startup Palmonas moved to secure ₹200 crore (approximately $22 million) in a Series B funding round.
The round is being led by mid-market private equity firm Xponentia Capital, with participation from existing investor Vertex Ventures Southeast Asia & India. This fundraise marks a massive valuation jump for the brand, which is co-founded by Bollywood actress Shraddha Kapoor.
Valuation & Shareholding Shift
The most striking detail of this round is the rapid appreciation of the company’s value over the past year.
- 3.8x Valuation Jump: Palmonas is being valued at ₹1,950 crore ($217 million) post-money. This is nearly four times the ₹500–550 crore valuation it held during its Series A round in August 2025.
- Funding Tranches: The company’s board is set to issue 815 Series B CCPS at an issue price of ₹13,59,434 each to raise the first ₹110 crore, with the remaining ₹90 crore expected to follow shortly.
- Ownership Structure: * Xponentia Capital: Will hold a 10.68% stake.
- Vertex Ventures: Will command a 14.25% stake.
- Founders: Pallavi Mohadikar, Amol Patwari, and Shraddha Kapoor will collectively retain approximately 65% ownership.
Financial Performance & Growth
The high valuation premium is backed by Palmonas’s explosive growth and sudden shift into profitability.
| Metric | FY24 (Actual) | FY25 (Actual) | Growth |
| Operating Revenue | ₹97 Lakh | ₹39 Crore | ~40x Growth |
| Net Profit / Loss | (₹1.24 Crore) Loss | ₹4.3 Crore Profit | Turnaround |
| Annualized Run Rate | – | ₹300 Crore (Projected) | – |
Strategic Use of Funds
Palmonas plans to use the fresh capital to solidify its “omnichannel” presence and move beyond its D2C roots.
- Offline Expansion: The brand aims to scale from its current 25 stores to 100 company-owned outlets within the next 12 months, focusing on high-street locations and premium malls in Delhi, Mumbai, and Bengaluru.
- Product Innovation: Strengthening its presence in the 9-carat gold and lab-grown diamond segments, which are seeing high demand during the current February “Valentine’s” wedding season.
- Inventory & Logistics: Building up a more robust supply chain to support its annualized revenue run rate, which has recently touched the ₹300 crore mark.
The “Demi-Fine” Competition
Palmonas is positioning itself as a key challenger to established players in the “everyday luxury” space. It currently competes with:
- GIVA: Which is reportedly raising $12 million in a new round.
- BlueStone: Which successfully went public last year.
- Firefly Diamonds: Which recently secured seed funding from WestBridge Capital.
