BRI Ventures’ VC fund leads series A round in 500 Startups-backed shoe brand

Portfolio Stories

December 14, 2020

BRI Ventures’ VC fund leads series A round in 500 Startups-backed shoe brand

BRI Ventures’ VC vehicle Sembrani Nusantara Fund announced that it has led an undisclosed amount in a series A round in Indonesia’s direct-to-customer shoe brand Brodo.

This round is the fund’s second investment after it made its debut investment of US$2 million in a series A round for Indonesia-based drink brand Haus earlier this month. It also marks BRI Ventures’ first step into the new-retail space.

The VC vehicle was launched in June 2020 and focuses on investing in sectors across education, agro-maritime, retail, transportation, and healthcare.

Brodo, established in 2010, started its business with leather-based footwear and has expanded to offer canvas sneakers and limited edition shoes.

Specializing in men’s fashion, the company merges the online and offline shopping experience with three brick-and-mortar shops in Jakarta, Bandung, and Surabaya.

“With this funding, we will double down on our product innovation and strengthen our supply chain network to help deeper penetrate Indonesia’s market. We are also preparing for our second stage of growth in order to fulfill a specific mission of making Indonesian brands cool again,” said Brodo CEO Yukka Harlanda.

The company is backed by 500 Startups and Lyra Ventures, among other angel investors.

In Indonesia, millennials and Gen Z buyers are increasingly desiring more “authentic and personalized” brand experiences, and Brodo aims to provide an alternative to the homogenous options presented by international labels, explained Sembrani Nusantara Fund head Markus Liman Rahardja.

Meanwhile, the archipelago was the fifth-largest exporter of leather footwear in 2019, accounting for 5.3% of global exports at US$3 billion. This enables the development of local brands like Brodo with ample production capacity.

Originally published by Tech in Asia