Planet Superheroes, which sells comic books-based merchandise, is raising $2 million in a Series A round of funding, the first tranche of which was led by Singapore-headquartered DSG Consumer Partners (DSGCP) and Japan’s Akatsuki Entertainment Technology (AET) Fund, the company announced on Friday.
The second tranche, which could be a mix of debt and equity, is expected to close by the end of this quarter, Planet Superheroes said in a statement.
The funds raised will be used for expanding its retail footprint and distribution channels, optimising the supply chain and forging licensing partnerships across new segments and product categories, the company said.
Jaineel Aga, CEO & co-founder of Planet Superheroes, said, “DSG continues to back us ever since our first seed round. We are also extremely thrilled to have AET on board as our investors. Their value addition via international introductions started even before the term sheet was signed. We look forward to forging stronger ties with Japanese gaming companies and content owners and be the conduit for their India entry strategy.”
DSGCP had also led the angel funding round for Planet Superheroes in November 2015.
Founded by Aga, Sumit Shah and Karan Rai, Planet Superheroes has partnered with Marvel, Warner Bros, Cartoon Network, Fox Studios, EONE and Disney to provide latest and original superhero merchandise from all over the world. It sells products across over 50 categories including apparel, toys and accessories, and boasts an omnichannel footprint across more than 15 stores.
Planet Superheroes soon plans to expand to tier – II cities and will also be launching cinema stores with a strategic tie-up with PVR Cinemas, it said.
“AET Fund will support introducing amazing characters and stories from all around the world to India,” Yuki Kawamura, Principal, and Head of India Investments at AET Fund, said.
AET Fund, the venture arm of Japan’s leading gaming and entertainment company Akatsuki Inc., announced its India entry last month with an initial corpus of $50 million. The fund will target seed to Series A investments across content, media and entertainment startups. With more than 10 deals in the pipeline, the fund is looking at investing in another five to six startups before the end of the year.
The two recent investments made by the Japanese fund in India include online discovery and shopping platform Little Black Book (LBB) and wedding portal The Wedding Brigade.
Last month, DSGCP announced the first close of its third fund with $30 million in committed capital. Prior to Fund III, DSG had raised a total of $95 million.
Over the last six years, DSGCP has invested in a slew of consumer brands in India and across Southeast Asia including OYO Rooms, Veeba, Epigamia Greek, Raw Pressery, Redmart, Chope, Mswipe, Eazdyiner, YouVit, SaladStop!, GOQii and Piccolo baby food.