Supermarket chain More Retail, backed by Samara Capital and Amazon, has raised approximately INR 400 crore over the past year from a mix of existing investors and prominent Indian family offices. The fresh capital infusion marks a significant step in the company’s strategic roadmap as it gears up for a much-anticipated INR 2,000 crore IPO, scheduled for calendar year 2026.
Founded in 2006 by the Aditya Birla Group, More Retail was acquired in 2019 by the Samara-Amazon consortium through Witzig Advisory Services, now renamed ‘More Consumer Brands’. The recent fundraise is earmarked for store expansion, operational scale-up, and digital integration, as the company focuses heavily on Tier-2 and Tier-3 towns, where modern retail remains underpenetrated.
“We will go public—not just to raise money, but to validate our model and reward early investors,” said Vinod Nambiar, Managing Director and CEO of More Retail.
IPO to Fund Growth and Debt Reduction
More Retail’s planned INR 2,000 crore IPO will be composed primarily of fresh issue of shares, with no major offer-for-sale (OFS) component. Both key promoters—Samara Capital (51%) and Amazon (48%)—are expected to retain their stakes post-listing. The IPO will also enable the company to reduce its current INR 500 crore debt, consisting of loans and non-convertible debentures (NCDs).
The management aims for an EBITDA profit of INR 60 crore in FY26, a sharp turnaround from the INR 65 crore EBITDA loss in FY24. Achieving net profitability, or PAT-level profit, is anticipated within two years.
Betting Big on Hybrid Retail and Smaller Cities
With an ambitious plan to grow its retail footprint from 775 stores to over 1,100 by FY26, and a long-term vision of reaching 3,000 stores by 2030, More Retail is aggressively investing in its hybrid retail model—a combination of physical outlets and digitally-enabled services.
The company has already omni-activated 228 stores to serve both walk-in and online shoppers. It plans to take this number to over 300 in the next 18 months, in partnership with Amazon Fresh, which now leverages 270 stores for online order fulfillment—a figure expected to reach 500–600 stores by year-end.
In parallel, More is expanding its network of ‘dark stores’—outlets catering exclusively to online orders—from 40 to 100 by FY26.
“Our model is not built around top-up convenience. Customers shop with us about eight times a month, purchasing full grocery baskets with an average ticket size of INR 850,” Nambiar noted. This figure is nearly double that of quick commerce players, emphasizing More’s strategy of value over speed.
Revenue Growth Despite Losses
For FY25, More Retail clocked gross sales of INR 5,000 crore, and is targeting INR 6,000 crore in FY26, implying an annual growth rate of 25–30%. This growth is expected to be driven by:
- 6–10% organic same-store growth
- 6–10% new store additions
- Remainder from online and hybrid channel expansion
This performance comes in a challenging environment where many FMCG peers are witnessing stagnation. However, More claims to be gaining market share, driven by its focus on smaller, agile brands and tight inventory management via direct procurement from brands.
Strategic Exit and Entry
While strengthening its presence in South India, Punjab, Haryana, NCR, and West Bengal, More Retail has exited from Mumbai and Delhi to optimize operations. In FY26, it will enter Jharkhand and Odisha, continuing its push into underserved Tier-2/3 markets.
West Bengal is already a major success story: with 109 stores, More is the largest player in the state and plans to add 90 more outlets over the next two years.
Investor Commitment and Valuation Push
In total, Samara and Amazon have invested INR 900 crore over the past five years, excluding the initial acquisition cost of INR 4,300 crore. Recently, More also raised INR 150 crore in just 120 days from family offices, as part of a broader strategy to benchmark valuation ahead of the IPO.
Conclusion
As India’s modern retail landscape evolves, More Retail is positioning itself not only as a grocery chain but as a technology-driven, customer-centric platform built for scale and sustainability. The fresh capital, aggressive expansion, hybrid model, and disciplined operations form the backbone of its upcoming IPO pitch.
Investors will be watching closely as the company moves towards EBITDA profitability, deeper integration with Amazon Fresh, and massive offline scale, all while navigating the twin challenges of margin pressure and competitive intensity in India’s fast-changing retail market.
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