Frendy, the retail tech startup specializing in small-format grocery chains, has successfully raised Rs 2 crore (approximately $239K) in a debt round led by UC Inclusive Credit. This latest funding brings Frendy’s total raised capital to Rs 42 crore, including both equity and debt.
The proceeds from this round will be utilized to support the central inventory needs, fueling the network of Frendy Marts and Micro Kiranas in tier III towns across Gujarat. The company aims to strengthen its supply chain and enhance the reach of its grocery solutions in underserved rural areas.
Founded in 2019 by Sameer Gandotra, Frendy is focused on building a network of modern neighborhood grocery mini marts for consumers in small towns and villages across India. The startup currently operates 25 marts and 2,000 micro kiranas across rural Gujarat and plans to expand its operations to 100 marts and 3,000 micro kiranas within the next 12 months.
Frendy’s existing investors include prominent names such as Auxano Capital, AT Capital (Singapore), Desai Ventures, Let’s Venture, MARV Capital (New York), and Metara Ventures (Singapore). These strategic partnerships underscore the company’s growth potential and the confidence investors have in its business model.
For the fiscal year FY23, Frendy reported a revenue of Rs 82 crore and aims to double its sales in the upcoming 12 months as it broadens its geographical footprint. The company’s innovative approach involves digitally connecting its marts to a cluster of micro-kiranas (mom-and-pop stores) and their end customers. This digital integration enables Frendy to establish a last-mile digital commerce bridge, catering to a wider range of rural consumers.
Frendy’s strategy of leveraging technology to enhance the traditional grocery shopping experience in rural areas aligns with its mission to provide modern retail solutions to underserved markets. The latest funding round marks a significant step in Frendy’s journey towards achieving its expansion goals and reinforcing its presence in the Indian retail tech landscape.
