HomeLane acquires Capricoast for ₹90 cr

Home interiors brand HomeLane.com has acquired Capricoast.com, a home interiors marketplace, for ₹90 crore in an all-stock deal. The 120-strong team of Capricoast will now be part of HomeLane.com, and Jawad Ayaz, founder and CEO of Capricoast, will join HomeLane.com’s board of directors.

“We acquired Capricoast as they bring a very strong, complementary product and technology back-end that will strengthen our product offering. Customers will now be able to see all the price ranges that they can choose from, receive price quotes in 5 minutes and be able to track the status of their entire home interiors projects at any point in time” Srikanth Iyer, co-founder and CEO of HomeLane.com, told BusinessLine.

The acquisition will bring 400 of Capricoast’s customers, including ongoing projects and finalised projects. The acquisition also marks the beginning of HomeLane’s next phase of growth and expansion, as it enters the Delhi/NCR market with plans to set up an experience centre in Gurugram in the next two months. “We have six experience centres and one out of three customers who visit our experience centres buys from us. We have already achieved operational profitability in Bengaluru, Hyderabad, Chennai and Mumbai and are now ready to serve home owners in Delhi/NCR” added Srikanth.

HomeLane expects to end FY2018 with $15 million in revenue, a 100 per cent growth over the previous fiscal and have an order book value of $25 million. “We are aiming to clinch 500–1,000 projects a month, up from 100 projects a month today, and be present in 8-10 cities in the next two years,” he said.

HomeLane caters to the mid-market segment where the average order value is ₹6.5 lakh.

Founded in 2014, HomeLane has raised about $15 million in venture funding from Sequoia Capital, Aarin, Growth Story and Baring PE and is in talks to raise its next round of funding.