Mumbai, India – Value retail chain 1-India Family Mart has successfully raised INR500m in its series B funding, which will be used in setting up an indigenous e-commerce business, thereby becoming omni-channel players in the sector. In addition, they will be also fueling inorganic growth as the group plans to double the number of stores in the next 2 years.

Said funding round was led by Dubai-based Gulf Islamic Investments (GII). The retail group had raised its first institutional round of funding from Carpediem Capital in 2018.

The retail chain is aiming to tap into India’s forecasted retail value of INR51t in 2019, growing at a CAGR of 9% to 11%. An increase in the market share of value e-retailers has demonstrated better profitability and value creation within the Indian retail landscape. Value retail constitutes 60% of the overall apparel retail market.

Jay Prakash Shukla, co-founder and CEO at 1-India Family Mart, said, “We are excited to raise a fresh funding round from GII which will significantly boost our expansion plans, strengthen our retail presence and drive growth trajectory of the group. This fund raise is quite sizable for the retail sector in recent times. As we build a scalable business, we needed like-minded investors that could guide us on nurturing an IPO-able group for the near future.”

Meanwhile, Ravinder Singh, co-founder and COO at 1-India Family Mart, commented, “We are increasing our geographical footprint and developing our own private label in the fast-growing women’s apparel category. We are setting up our owned online omni-channel to further penetrate the market and reach our discerning customers. Moreover, having a strong online presence will further consolidate our position in the industry.”