1-India Family Mart raises debt funding worth Rs 20 crore for expansion
By Retail4Growth Team | May 03, 2019
The raised amount will be allocated primarily for opening new stores as well as for working capital requirements of the company.
1-India Family Mart, a fast growing value retail chain owned by Nysaa Retail, has raised debt funding worth Rs 20 crores. The funding, led by APAC Financial Service, will be leveraged by the company for expanding to newer geographies as well as for its working capital requirements.
1-India Family Mart currently stands strong with 90 stores across 81 cities of Eastern and Northern India; generating revenue over Rs 400 crores.
Commenting on securing the funds, Deepak Sharma, Chief Financial Officer, 1-India Family Mart said, “This round of external funding reflects our commitment towards maintaining a healthy growth rate and profitability on the financial books. This growth capital will give us the resources and flexibility to further expand aggressively to new territories and geographies to accelerate the brand’s attempts of meeting the fashion expectations of diverse customer groups with refreshingly different retail experiences. This round is part of the larger capital raise which the company is in the process of closing which will fund the company to scale its business till it goes public within the next two years.”
1-India Family Mart raised its first external funding worth US$ 7 million from Carpediem Advisors in 2018 for investing in expansion, technology, CRM, warehousing and storefront training. Following this latest round of funds, the company is reportedly planning to add up 40 stores in the current year and 50 stores by 2020 aiming to eventually address the fashion needs of the country’s population that primarily resides in tier-2, tier-3, and tier 4 cities.
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The store, which stocks around 800 SKUs, brings leading Karnataka Cooperative brands like Nandini, Mysore Sandal, Safal, Campco and other local brands under one roof.
The retail company has set a target of 10 new franchise outlets for FY 2019-20 across tier 2/3 towns in India.
The company is aiming at a turnover of Rs 1,100 crore by 2020-’21 and plans to add 80 new stores in the same period.