Realty services company TCC Concept to acquire Pepperfry

Realty services company TCC Concept has signed a term sheet to acquire up to a 100% stake in omnichannel furniture and home goods platform Pepperfry, according to a stock exchange filing on Friday.

The company did not disclose the deal size or timeline for completion of the acquisition.

Following the news, shares of BSE-listed TCC Concept hit the 5% upper circuit on Friday, and closed at ₹543.35.

TCC Concept said the proposed acquisition is aimed at strengthening its presence in the e-commerce and digital marketplace space, complementing its focus on technology-led platforms. It added that the integration of Pepperfry would enhance customer experience, create operational synergies and open new growth avenues.

Founded in 2012, Pepperfry competes with e-commerce majors Amazon and Flipkart, as well as Reliance-backed Urban Ladder. Its business is primarily driven by commissions on product sales.

In June, Pepperfry raised ₹43.3 crore from existing investors, including Norwest Venture Partners, Goldman Sachs, General Electric Pension Trust, Growth Equity Opportunity Fund and Panthera Growth Partners. Pepperfry has cumulatively raised over $300 million (roughly ₹2,600 crore) and was valued at over $341 million (or roughly ₹3,000 crore).

The company had earlier shelved its initial public offering (IPO) plans, despite converting into a public entity in 2022 to prepare for a proposed $250–300 million offering. Cofounder Ashish Shah had said Pepperfry was prioritizing growth and profitability instead.

Pepperfry has remained a largely loss-making company since its inception, posting a net loss of ₹117.5 crore on operating revenue of ₹188.9 crore in FY24.

Online furniture market consolidates

The potential acquisition of Pepperfry comes at a time when India’s online furniture and home goods market is witnessing consolidation, with traditional players and digital-first platforms competing for scale.

Strategic domestic mergers and acquisitions (M&A) in food & beverages, FMCG, and e-commerce segments have intensified. Domestic deals make up around 77% of deal volumes, with more bolt-on acquisitions by larger players seeking category leadership, according to a report by consulting firm The Grant Thornton Bharat.

E-commerce/retail M&A trend analyses show fewer deals in 2025 so far compared with 2024, but with larger transaction sizes as companies focus on scale, data/advertising leverage, and profitability, according to a report by audit firm PwC.

For TCC Concept the deal represents an entry into a consumer-facing segment.