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The global textile industry is undergoing a transformation, and STCH is positioning itself at the forefront of this change. Based in Bengaluru, the startup has raised $5.5 million in a pre-Series A funding round led by Omnivore, with participation from Kae Capital and WVC. This funding marks a significant step toward modernizing fabric research, development, and manufacturing using artificial intelligence.
Founded in 2025 by former Zetwerk executives Narahari Payala and Aseem Chitkara, STCH aims to solve one of the textile industry’s biggest inefficiencies, trial-and-error-based fabric development. Traditionally, achieving the desired fabric output can take multiple iterations, consuming time and resources. STCH is working to eliminate this inefficiency through a data-driven approach.
At the core of STCH’s model is its AI-powered platform, which analyzes global fashion trends and decodes fabric compositions using image and data analysis. The company is also building a “fabric GPT,” a system trained on extensive datasets of textile formulations and outcomes. This technology allows manufacturers to predict exact fabric recipes based on desired characteristics such as softness, durability, and texture. By doing so, STCH significantly reduces research and development cycles while lowering production costs.
While much of the fashion industry’s innovation has focused on design and customer experience, STCH is targeting the supply chain, the most critical yet under-optimized layer. Operating as a contract development and manufacturing organization (CDMO), the startup collaborates with global brands like Shein, Crocodile, and Being Human. It helps these brands design, develop, and source fabrics aligned with international trends, ensuring faster and more efficient production cycles.
One of STCH’s most promising innovations lies in sustainable textiles. The company is developing fabric formulations that replace petrochemical-based synthetics with biodegradable or recycled fibers without compromising on performance. For example, it has created materials that mimic polyester’s feel while being made from cotton. This breakthrough addresses the long-standing trade-off between sustainability and functionality in textile manufacturing.
With an order book exceeding $15 million across markets such as the UK, Europe, the US, and India, STCH is already demonstrating strong global demand. The newly raised funds will be used to expand its AI capabilities, establish a dedicated fabric R&D lab, strengthen mill partnerships, and enter new international markets, including the US and Spain. The company ultimately aims to become a full-stack backend partner for fashion brands, handling everything from trend identification to final delivery.
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