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XYXX, a millennial-friendly brand in the men’s innerwear and comfort-wear space, has announced the close of its Series B round of Rs 90 crore (approximately $11 million) led by Singularity Growth Opportunities Fund, including Rs 15 crore (approximately $2 million) venture debt from Trifecta Capital. Existing investors Sauce Venture Capital and DSG Consumer Partners also participated in this round.

With this round, the startup has so far raised Rs 135 Crore.

Yash Kela, Founder, Singularity Growth Opportunities Fund , will join XYXX’s board of directors.

Announcing the investment, Yash Kela, Founder, Singularity Growth Opportunities Fund, said, “The men’s innerwear and comfortwear industry in India is a $3bn opportunity in the mid – premium segment. But it has seen limited innovation on fabric, cuts or designs in the last decade or so from the leading incumbents. Today, millennial customers are looking for more comfortable and natural fabrics (micromodal, supima cotton) and are keen to experiment with new designs and products.

“XYXX’s rapid growth over the  last year shows their understanding of customers’ needs, design prowess, and unique value proposition that works across channels.”

Founded by Yogesh Kabra in 2016, XYXX has transformed from a men’s innerwear label with a premium and differentiated offering for the young Indian man to a 360-degree elevated basics brand with a robust product portfolio spanning innerwear, comfortwear, loungewear, active wear, and winter wear.

Yogesh said, “XYXX has been built on strong business fundamentals and a single-minded focus on the bottom line, throughout our fast paced growth. We have consistently checked and excelled at metrics like burn rate, capital efficiency, gross margins amongst others. We have already achieved profitability at the Contribution Margin 2 level and have been looking at a double-digit margin for the past two quarters. We are well on track to become operationally profitable by the end of the financial year.

He added that the startup had witnessed 300% year-on-year growth during FY22, which serves as “a humbling reminder of the progress we have made in five years and a thrilling look ahead at what we are going to achieve next”.

The Surat-based brand is currently present in over 14,000+ multi-brand outlets, tapping a network of 100 cities. In addition to this, XYXX also retails on 14 key digital marketplaces such as Amazon, Flipkart, Myntra, Ajio, amongst others