Bengaluru-based lab-grown diamond jewellery brand Aukera has raised ₹90 crore in fresh debt funding, another signal of how startup funding in India is diversifying beyond equity. The round was led by existing investor Alteria Capital, with participation from InnoVen Capital, Lighthouse Canton and a bank.
A 35-store retail blitz in India's lab-grown diamond race
Founded in 2023 by Lisa Mukhedkar (CEO) and Kumar Saurabh, Aukera is building a company-owned retail network of experience stores offering certified lab-grown diamonds, in-house designs and proprietary cuts, plus buyback and exchange options. The raise comes less than 12 months after the company secured US$15 million in equity funding led by Peak XV Partners.
Over the past year, Aukera expanded its store network from 13 to 35 outlets, pushing beyond Bengaluru, Hyderabad and Delhi NCR into Pune, Lucknow, Dehradun and Visakhapatnam. The fresh capital goes into further store openings, new product development and designs, omnichannel infrastructure and hiring.
Competition is heating up
India's lab-grown diamond segment is crowding fast — Titan has launched its own LGD brand, beYon. Mukhedkar's bet: "This category will not be won on discounting; it will be won on trust, quality and brand." Co-founder Kumar Saurabh says a leading player in the category would ultimately need an investment of at least ₹1,000 crore, and Aukera is building its balance sheet toward that.
Why it matters for founders
Debt alongside big equity is becoming a mainstream startup funding strategy in India for asset-heavy retail plays — Alteria and InnoVen keep doubling down because company-owned stores are measurable, compounding assets. Founders scaling physical retail: venture debt preserves equity when your unit economics are already proven, as Aukera's 13-to-35 store sprint suggests.