Citykart In Talks To Raise Rs 340 Cr From A91 partners, TPG NewQuest

Citykart, a North Indian fashion retailer, is in discussions with A91 Partners and TPG NewQuest to raise about $35-40 million (Rs 290-340 crore), according to Moneycontrol.

The talks happen as the company's main competitor, Vishal Mega Mart, receives a strong response to its IPO, with a 27-fold subscription.

As per source said that the talks are ongoing, and due diligence is still in progress. The total funds being raised, about $25 million (Rs 210 crore) will come from secondary share sales, while the remaining $10-15 million (Rs 85-130 crore) will be primary capital for the company.

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A second source told Moneycontrol that A91 Partners will likely lead Citykart’s primary funding, while TPG NewQuest will buy most of the shares in the secondary market. Early investors in Citykart, like Investcorp and India SME Investments, will sell some of their shares to TPG NewQuest.

The talks are still ongoing, so the deal's details may change.

About CityKart

CityKart, based in Lucknow, was founded in 2015 by Sudhanshu Agarwal (Ex vice-president at Vishal Mega Mart). The company offers affordable fashion for men, women, and kids, along with footwear and accessories. 

It also sells home furnishings, general merchandise, toys, and more recently, cosmetics and personal care products.

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CityKart has over 130 stores across India and plans to reach 300 outlets by the end of 2026. This is less than half of Vishal Mega Mart’s current total of 645 stores.

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