AI-driven textile startup STCH has raised $5.5 million in a pre-Series A funding round led by Omnivore, with participation from Kae Capital and WVC. The fresh capital signals growing investor confidence in the intersection of artificial intelligence and textile manufacturing.
Founded in 2025 by former Zetwerk executives Narahari Payala and Aseem Chitkara, STCH is building a contract development and manufacturing (CDMO) platform tailored for fashion brands. Unlike many AI startups focusing on consumer applications, STCH is doubling down on backend innovation specifically fabric development and sourcing.
At the core of its platform is an AI engine that analyzes product images and descriptions to decode fabric characteristics such as texture, weight, and finish. It then enables the recreation of similar materials through a network of manufacturing partners, primarily across India and Bangladesh.
The company claims it can take a fabric from concept to production in just 45 days a significant improvement in an industry often plagued by long lead times. Currently, STCH works closely with fashion brands in the UK and Europe, helping them streamline sourcing and accelerate product development cycles.
The newly raised funds will be deployed to strengthen STCH’s AI capabilities, establish a dedicated fabric R&D lab, expand manufacturing collaborations, and scale operations across key international markets.
Interestingly, STCH isn’t the only player attracting investor attention in this space. Earlier this year, Whizzo founded by former Zetwerk executive Shrestha Kukreja raised $15 million in a Series A round led by Fundamentum, highlighting rising momentum in materials science and manufacturing innovation.
With AI rapidly reshaping traditional industries, STCH’s approach to digitizing fabric development could mark a turning point for global fashion supply chains.
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