Apna Mart has raised Rs 120 crore in a Series C funding round, giving the quick commerce startup a major financial boost as it looks to expand its business across Tier-II and Tier-III cities in India. The latest investment has doubled the company’s valuation while helping it strengthen operations, improve its supply chain, and support future growth.
The funding comes at a time when the company is also making big internal changes, including workforce restructuring and shifting its headquarters from Bengaluru to Gurugram. Despite reporting strong revenue growth over the past few years, Apna Mart is still facing rising losses, making this investment an important step in its growth journey.
Existing Investors Back Apna Mart Again
The latest funding round has been led by Apna Mart’s existing investors. Accel India and Fundamentum Partnership have each invested Rs 55 crore, while Peak XV Partners has invested the remaining Rs 10 crore.
To complete the funding round, the company’s board approved the issue of 2,367 Series C compulsorily convertible preference shares (CCPS) at an issue price of Rs 5,06,757 per share.
With this investment, Apna Mart’s valuation has increased to around Rs 1,470 crore, almost double its previous valuation of Rs 738 crore during the Series B round.
After the fresh investment, Accel India will continue to be the company’s largest external shareholder with a 22.83% stake. Fundamentum Partnership will hold 14.14%, while Peak XV Partners will own 12.60%. Co-founders Abhishek Singh and Chetan Garg will continue to hold nearly half of the company, with each owning 24.76%.
The company plans to use the newly raised funds for capital expenditure, working capital, improving supply chain operations, and other general business needs.
Apna Mart follows a franchise-owned, franchise-operated (FOFO) model. Its physical stores work as both supermarkets and micro-fulfilment centres, allowing the company to deliver groceries within 10 to 15 minutes. The startup currently operates around 185 to 200 stores, mainly serving customers in Tier-II and Tier-III cities.
Revenue Grew Fast but Losses Also Increased
Apna Mart has recorded strong revenue growth over the last few financial years, although its losses have also increased.
In FY24, the company reported operating revenue of around Rs 59.5 crore and a net loss of about Rs 33 crore.
In FY25, revenue increased sharply to around Rs 185-190 crore. However, the company’s net loss also grew to nearly Rs 76 crore as it continued to invest in expanding its business.
For FY26, Apna Mart has said its revenue grew about 2.5 times to reach nearly Rs 500 crore. However, the company has not yet shared its profit or loss figures for the financial year.
While the strong revenue growth shows that the business is expanding quickly, the absence of FY26 profit numbers means it is still unclear whether the company has improved its profitability.
Even so, investors continue to show confidence in Apna Mart’s business model, which focuses on serving smaller cities where competition is lower than in large metro markets.
AI Adoption and Office Shift Lead to Layoffs
Along with raising fresh funds, Apna Mart has also made several organisational changes to improve efficiency and reduce costs.
The company recently laid off around 10% of its workforce, affecting nearly 35 to 40 employees across different teams.
According to the company, one reason for the layoffs was its decision to move its headquarters and product and technology teams from Bengaluru to Gurugram. Some employees were unable to relocate, leading to job cuts.
Another reason was the growing use of Artificial Intelligence (AI) in business operations. The company said that automation helped replace some tasks, making certain roles unnecessary.
Employees affected by the layoffs were informed through internal emails and will receive severance pay equal to two months of their salary.
The move to Gurugram is part of Apna Mart’s strategy to bring its corporate teams closer to its key markets in Jharkhand, Chhattisgarh, and West Bengal. The company believes this will help improve coordination and support future expansion.
With fresh funding, continued support from existing investors, and a growing presence in smaller Indian cities, Apna Mart is preparing for its next stage of growth. At the same time, the company will need to focus on controlling losses and improving profitability as competition in India’s quick commerce market continues to grow.