Empire News Africa

African Entertainment News Online…

Powerhouse91 building Thrasio of India by acquiring ecommerce brands

Spread the love
NEW DELHI: Serial entrepreneurs Shashwat Diesh and Aqib Mohammed have launched Powerhouse91, an ecommerce venture that buys, consolidates and fast tracks the growth of brands that sell products on ecommerce marketplaces in India. The duo previously co-founded AZAH, a wellness brand for women, established in November 2018, funded by Titan Capital and other marquee investors.

Powerhouse 91 uses growth capital and various e-commerce capabilities in order to take the acquired brands to the next level. This concept, pioneered by Thrasio in the US which is the fastest company ever to become a unicorn, has picked up quite well in the Western markets with many companies in this space growing exponentially while also being profitable.

In a statement Shashwat Diesh said, “While creating an ecommerce brand and taking it from zero to one is hard, it is sometimes even harder to scale it beyond that and make it really big. It could be due to a number of reasons – working capital challenges, rising competition from big players, increased advertising costs and so on. At times, these brand owners don’t necessarily have access to appropriate institutions or expertise that’s needed to overcome these challenges – which is where we jump in. We buy these brands and take them to the next level.”

“We feel that an important next chapter of this journey is going to be defined by many of the relatively smaller brands becoming category creators and household names. At Powerhouse91 we see ourselves as an enabler towards that, helping build some of India’s biggest ecommerce brands and contributing directly towards the growth of the entire Ecommerce ecosystem,” said Aqib Mohammed in a statement.

Powerhouse91 acquires these brands by paying a multiple of its profits and gives the brand owner an offer to acquire within 2-3 weeks if the brand meets the required criteria. Currently, the company is in the final stages of acquiring multiple e-commerce brands in India and is on track to have a portfolio of brands generating more than 100 crores in revenues in the next two years.

(The one-stop destination for MSME, ET RISE provides news, views and analysis around GST, Exports, Funding, Policy and small business management.)

Download The Economic Times News App to get Daily Market Updates & Live Business News.