Grocery chain Sumosave Retail raises Rs 50 crore led by 12 Flags

Grocery supermarket chain Sumosave Retail Ventures has raised Rs 50 crore in a pre-series B round led by consumer-focussed investment firm 12 Flags Group, with Stride Ventures providing venture debt as the company looks to expand its store network.

Founded in 2022, Sumosave had previously raised $3.3 million from Lightspeed and angel investors. The firm operates company-owned neighbourhood supermarkets across east and north India, catering largely to middle and lower-middle-income consumers.

The latest capital will be used to expand its store footprint and strengthen the supply chain. The retailer has set a target of operating 500 stores by 2030.


The funding reflects continued investor interest in organised grocery retail, with regional supermarket chains increasingly using a combination of equity and venture debt to finance expansion.

"India’s food and grocery market is seeing a massive modern-retail inflection, with middle-income families demanding high-quality brands alongside tight budget control," said Mohit Kampani, founder and chief executive of Sumosave. "Partnering with 12 Flags and a brand builder like Rakesh Kapoor gives us deep strategic mentorship, while Stride Ventures’ specialised credit fuels our expansion."

Kapoor, founder of 12 Flags Group and former global chief executive of Reckitt Benckiser, said the investment was driven by the company's focus on affordability, operating discipline, and capital-efficient growth.

"At 12 Flags, we back businesses that make a difference to people while building enduring competitive advantage," Kapoor said. " We are excited to partner with Mohit and his team as they scale what we believe can become one of middle India’s leading value retail businesses."