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Funding · Enterprise Software & IT

STCH raises $5.5 million in pre-Series A round

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Date
Company
STCH
What it does
AI-driven fabric innovation and manufacturing platform
Kind
Funding
Amount
$5.5 million
Stage
pre-Series A
Founded
2025
Sector
Enterprise Software & IT

What they do

STCH is a contract development and manufacturing platform for fabric innovation and textile manufacturing

What happened

It raised $5.5 million in a pre-Series A round led by Omnivore, with Kae Capital and WVC participating

Why it matters

The company uses AI to scan fashion trends and recreate fabrics, and has an order book of over $15 million

The details

  • STCH raised $5.5 million in a pre-Series A round.
  • The round was led by Omnivore, with participation from Kae Capital and WVC.
  • STCH initially communicated $7 million but revised the amount to $5.5 million.
  • The company is a contract development and manufacturing organisation (CDMO) for fabric innovation.
  • It uses AI to scan global fashion trends and decode fabric compositions.
  • STCH matches demand with manufacturing capacity to enable faster production cycles.
  • The company can take a fabric from concept to production in about 45 days.
  • STCH plans to use the capital to invest in its AI stack, build a fabric R&D lab, and expand into new markets.

The bigger picture

  • STCH was founded in 2025 by ex-Zetwerk executives Narahari Payala and Aseem Chitkara.
  • The company's origin: a UK brand asked to replace Turkish fabrics with Indian alternatives, cutting sourcing costs by nearly 20%.
  • STCH benefits from trade agreements between India and UK/Europe and easing US tariffs, improving Indian textile competitiveness.
  • The company is building a 'fabric GPT' trained on large datasets of textile recipes to reduce R&D lifecycle.

About the business

  • STCH is a contract development and manufacturing organisation (CDMO) platform for fabric innovation and textile manufacturing.
  • It uses AI to scan global fashion trends, decode fabric compositions via image and data analysis, and recreate similar materials.
  • STCH matches demand with manufacturing capacity to enable faster production cycles.
  • The company can take a fabric from concept to production in about 45 days.
  • STCH is building a 'fabric GPT' trained on large datasets of textile recipes and outcomes to reduce R&D lifecycle.
  • It is developing textile formulations replacing petrochemical-based synthetics with biodegradable or recycled fibres.
  • STCH works with brands like Shein, Crocodile, and Being Human.
  • The company operates with committed capacity from partner factories rather than owning them.

What happens next

  • STCH plans to invest fresh capital in its AI stack and build a fabric R&D lab.
  • It will expand mill partnerships and enter new markets such as the US and Spain.
  • The company also plans to expand into Germany, France, and later the US.

The deal

Type
pre-Series A

Investors

Founders

  • Narahari Payala, CEO
  • Aseem Chitkara, Co-founder

About STCH

Product
A contract development and manufacturing platform for fashion businesses focused on fabric innovation and sourcing.
Customers
Global fashion brands and apparel businesses.
How it makes money
Provides B2B fabric development, sourcing, and manufacturing support through partner factories.
What sets it apart
Uses AI to analyze product images, detect fabric specifications, and recreate materials through local manufacturing partners.
Operations
Works through partner factories and says it can take a fabric from concept to production in about 45 days.

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