Spacewood Furnishers Secures INR 300 Crore Investment from A91 Partners, Valuing Company at INR 1,200 Crore

FDT Bureau

(L-R) Vivek Deshpande, Kirit Joshi, Nitin Sudame, Founders of Spacewood Furnishers.

Funds to Drive Manufacturing Expansion, Retail Growth, and Omnichannel Initiatives as Spacewood Aims for IPO in 4–5 Years.

Spacewood Furnishers, a leading name in India’s modular furniture industry, has successfully raised INR 300 crore from A91 Partners in exchange for a 25% equity stake, valuing the company at INR 1,200 crore. The deal, officially announced on November 5, 2025, also marks the full exit of previous investors Brand Capital and Sumitomo Forestry. This investment is among the largest private equity deals in India’s organized furniture sector and underscores growing investor confidence in the industry’s potential.

The funds will be strategically deployed to accelerate Spacewood’s growth across multiple fronts. A significant portion will be directed toward expanding the company’s manufacturing capabilities in Nagpur, with a focus on integrating advanced technology and automation. Additionally, Spacewood plans to grow its retail footprint from the current 35+ stores to 80–100 stores over the next three years. The company will also invest in technology upgrades, process automation, and talent acquisition to strengthen its operations and retail teams. Strengthening its omnichannel presence, particularly on platforms like Amazon and Pepperfry, is another key priority.

Founded in 1996 by Kirit Joshi and Vivek Deshpande, Spacewood Furnishers has established itself as a trusted brand in modular kitchens, wardrobes, and home/office furniture. The company operates a state-of-the-art 1 million+ sq ft manufacturing facility in Nagpur and serves customers nationwide through a network of 35+ exclusive stores and 500+ dealers. Spacewood’s commitment to quality and innovation has earned it certifications such as ISO, FIRA UK, BIFMA, and CE, further solidifying its market position.

A91 Partners, the growth equity firm behind this investment, is known for its focus on consumer, technology, and manufacturing sectors. This investment is part of A91’s third fund, which closed at $665 million. The firm’s strategic partnership with Spacewood aims to enhance operational efficiency, brand building, and long-term value creation. A91 Partners’ portfolio includes notable brands like SUGAR Cosmetics, Blue Tokai Coffee, and The Sleep Company, reflecting its expertise in scaling consumer-focused businesses.

The investment is expected to have a significant impact on India’s furniture industry, which is witnessing a shift from unorganized to organized players. Spacewood’s ambitious growth plans include targeting an IPO in 4–5 years, with a goal of achieving 25–30% annual growth and reaching INR 1,000 crore in revenue by FY2025. The company’s focus on innovation, technology, and expansion positions it as a key player in India’s rapidly evolving modular furniture market.

With this infusion of capital and strategic support from A91 Partners, Spacewood Furnishers is poised to strengthen its leadership in the industry, driving growth and setting new benchmarks for quality and customer experience.