HomeLane, an interior design and decor company, 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.
Post the acquisition, HomeLane, Design Cafe, and HomeLane’s affordable home interiors division, Doowup will continue to operate as distinct brands, catering to different market segments. The combined entity aims to serve a more niche premium target market.
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.
Alongside the acquisition, HomeLane has raised ₹225 crore in funding from existing investors of both HomeLane and DesignCafe, as well as new investments from Hero Enterprise. Westbridge Capital. Mirabilis and Claypond also returned as investors in the fundraise.
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.”
Sunil Kant Munjal, Chairman of Hero Enterprise, said, “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.”
Homevista Decor & Furnishings, the parent company of brands like HomeLane, Doowup, Cubico, and Wrapzap was founded in 2024 and operates in 30 cities and claims about 45,000 customers.
DesignCafe, established in 2016 by Gita Ramanan and Shezan Bhojani, has raised nearly $30 million in funding and is present in 10 cities across India.
