E-commerce players, Zovi and Inkfruit have announced today that they have finalised a deal under which the two companies will merge together to create leading online fashion firm.

Manish Chopra, the Chief Executive Officer of Zovi claimed that the merger will result in the creation of India's strongest private label online fashion company. He also said that Zovi is looking to merge with the unique design and creative capabilities of Inkfruit. The combined entity will operate from Bangalore and Gurgaon and will have a satellite office in Mumbai for support on regional sourcing and logistics functions.

Kashyap Dalal, CEO, Inkfruit, said, "We are excited by the opportunity to integrate the businesses and leverage complementary team strengths, product lines and customer bases to scale rapidly. We look forward to working as one team and build one of the largest e-commerce businesses over the next few years."

Meanwhile, Zovi has also said that it has raised $10 million from lead investors, SAIF Partners and Tiger Global. The company will use the funds raised for its growth initiatives, marketing campaigns and launching new categories. The additional expenditure will facilitate higher growth in existing categories and expanding logistics network.