Libas plans IPO by FY27, focuses on quick commerce and Tier-2 expansion

Libas Founder and CEO Sidhant Keshwani said.

Indian wear brand Libas is gearing up for its public market debut by the end of FY27 or early FY28, according to founder, CEO, Sidhant Keshwani.

The digital-first company, which raised ₹150 crore in May 2024, is on track to close FY24 with revenues of approximately ₹650 crore, and has set its sights on crossing ₹1,000 crore in revenue within two years.

We’re not currently looking to raise another round,” said Keshwani. “But if we feel there’s a need to accelerate offline expansion, say, open more stores quickly ahead of the IPO, then we might consider it. Otherwise, we’ll go straight to IPO.”

Quick-comm playbook

With impulse-driven purchases on the rise, fueled by faster deliveries, flash sales, and mobile-first shopping, Libas is now doubling down on quick commerce (q-comm). The company is building a hyperlocal delivery network supported by dark stores to meet the growing demand for instant fashion gratification.

“Consumer behavior has shifted dramatically. Two years ago, everyone was cracking 1–2 day deliveries. Today, customers want products in 30 minutes- an hour,” Keshwani said. “This will soon be a necessity, not a choice, for brands. Just like we got into e-commerce early, we want to be ahead of the curve in quick commerce too.”

Libas expects quick commerce to contribute over 10 per cent of its total business by early next year, up from less than 1 per cent currently. A pilot dark store went live in Delhi a month ago, and the brand aims to have 18–20 dark stores across key metros before Diwali.

Interestingly, return rates are significantly lower in Q-Comm, Keshwani noted nearly 60–70 per cent lower than regular e-commerce, thanks to instant gratification. “You receive the product in 15 minutes. If it fits, you don’t get enough time to change your mind, you just end up using it.”

For quick commerce platforms, Libas will focus on occasion-based, all-season SKUs, not high-fashion items.

Average order values also differ: “On quick commerce, it’s ₹1,000–₹1,200, compared to ₹2,000–₹2,500 on e-commerce. So sub-₹1,500 products are doing better than pricier items on these platforms,” Keshwani said.

Tier-2 towns show growth

The company’s digital play is also resonating beyond metros, with 40- 45 per cent of its e-commerce business now coming from smaller towns. The company is also aggressively ramping up its offline presence.

“Since January, we’ve been opening 2- 3 stores every month across cities, and we’re planning a major expansion before Diwali, 15–20 new stores,” he said. “By the end of 2025, we aim to have 70–75 stores, and by the end of next year, that number should reach 150–200 stores.”

Published on July 3, 2025