Gurugram, September 1, 2025 (IST): Community ecommerce startup CityMall, which targets value-conscious consumers beyond metro cities, has raised $47 million in a new round led by Accel. The round is a mix of equity and debt, with $41 million as equity and the rest as debt, according to cofounder & CEO Angad Kikla.
Round highlights
- Size: $47 million (equity + debt)
- Lead investor: Accel
- Other participants (existing): Waterbridge Ventures, Citius, General Catalyst, Elevation Capital, Norwest Venture Partners, Jungle Ventures
- Post-money valuation: ~$320 million; management characterized it as near-flat versus recent rounds and lower than the ~$350 million level in 2022.
Use of proceeds
- Deepen presence in current markets and expand into adjacent regions
- Grow private labels and brand partnerships
- Hire across key functions to support scale
Business snapshot
Founded in 2019 by Angad Kikla, Naisheel Verdhan, and Rahul Gill, CityMall operates a grocery-first marketplace alongside home, kitchen, small electronics, and general merchandise—offered via next-day delivery at mass-market price points through a mix of its own labels and regional brands.
- Footprint: Delhi-NCR and 60+ cities across Uttar Pradesh, Haryana, Uttarakhand, and Bihar
- Consumer focus: Value-seeking households prioritizing price over breadth of choice/convenience
- Traction: Management says the company has achieved product-market fit with predictable, scalable, and increasingly profitable operations
- Financials: Revenue rose to ₹459 crore in FY24 from ₹378 crore in FY23; the company says it grew about 2× year-on-year in the last fiscal
- Capital raised to date: ~$165 million
Market context
CityMall positions itself against low online grocery penetration (<2% by the company’s estimates), arguing that quick-commerce platforms largely serve affluent metro users while the mass market remains under-addressed. Among rivals, hyperlocal ecommerce player DealShare reported FY24 operating revenue of ~₹499 crore, down ~75% year-on-year amid restructuring, even as losses narrowed.
Investor view
Accel partners Rachit Parekh and Pratik Agarwal said CityMall’s low-cost supply chain makes ecommerce economically viable for underserved communities while delivering value to mass-market consumers.
Editor’s note: Figures and statements above are based on company disclosures and investor commentary at the time of publication. Readers should refer to official filings/announcements for subsequent updates.
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