Myntra's B2B arm secures Rs 199 crore Yes Bank debt to fuel private-label push
Myntra Jabong India raised a Rs 199 crore ($31.1M) working-capital loan from Yes Bank via hypothecation, part of a Rs 300 crore facility to the Myntra group. The debt backs its private-label expansion, including Roadster's Rs 500 crore run rate, with private brands targeting Rs 1,000 crore by 2018-19.
What happened
Myntra's B2B fashion arm (Myntra Jabong India) secured a Rs 199 crore loan from Yes Bank via hypothecation for working capital, part of a Rs 300 crore facility
Key facts
- Rs 199 crore
- $31.1 million
- Rs 300 crore total facility
- Rs 375 crore Flipkart loan
- 30% private label revenue
- Roadster Rs 500 crore run rate
- Rs 1,000 crore by 2018-19
- 14 brands
- 70% online fashion market share
Why this matters
Myntra's deepening private-label bet (14 owned brands, Roadster at Rs 500 crore run rate) reshapes its competitive moat, signaling a vertically integrated apparel play worth tracking for partnership or acquisition angles.
What to watch
- Private-label revenue share moving above/below the ~30% mark in next quarterly disclosure
- Roadster run-rate progression versus the Rs 500 crore benchmark
- Inventory days and markdown intensity in end-of-season sales
- Yes Bank facility utilization and any covenant or hypothecation changes
- Competitive private-label launches from Ajio, Amazon, and Flipkart
- Draw down remaining Rs 101 crore of the Rs 300 crore facility for peak-season inventory
- Add manufacturing/sourcing partners and expand SKU count across the 14 private brands
- Push exclusive-brand placement on Flipkart platform to cross-sell and lift attach rates
- Renegotiate or refinance if working-capital cycle lengthens beyond plan