Citykart raises Rs 538 Cr in Series B round led by TPG NewQuest, A91 Partners

Value fashion retail chain CityKart on Tuesday secured Rs 538 crore in a Series B funding round co-led by TPG NewQuest and A91 Partners.

The company, in a statement, said that Investcorp, an early backer of Citykart, has made a full exit, while India SME Fund continues to hold a minority stake.

Of the total capital raised, about Rs 120 crore is primary capital, while the remaining Rs 418 crore is secondary transactions. The funding will enable the company to expand its reach, drive innovation and product diversification, and strengthen its foundation for long-term scalability and operational efficiency.

“This new round of funding is a significant milestone in our journey. We are delighted to welcome TPG NewQuest and A91 Partners as long-term partners who believe in our vision of making affordable fashion accessible to Bharat. We’ve been fortunate to have had the support of Investcorp and India SME Fund in our earlier stages. Their belief in our model helped us build a strong foundation,” said Sudhanshu Agarwal, Co-founder of Citykart.

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The company has scaled its presence to 137 stores across 91 cities in 11 Indian states, reaching over 15 million customers annually. Citykart aims to cross Rs 1,300 crore in revenue and has set a long-term goal of expanding to 300 stores.

“Citykart has demonstrated an exceptional ability to scale profitably in one of the most challenging and underserved segments of Indian retail. Their deep customer understanding, disciplined execution, and strong leadership team make them well-positioned to drive value fashion retail across India. We are excited to partner with them in this next phase of growth,” said Bharati Agarwal of TPG NewQuest.

The startup operates several private-label fashion brands, including Athiya, Nimes, Fumee, and Remise, catering to the value segment across multiple regions in India.