Egyptian startup Cartona, a B2B platform focused on digitizing and empowering mom-and-pop stores, hotels, restaurants, cafés, FMCG companies, and wholesalers, has successfully secured an additional US$8.1 million in a debt and equity Series A extension round. This new funding will enable Cartona to further solidify its position in the domestic market and pave the way for expansion into new markets.
Founded in August 2020, Cartona has been at the forefront of transforming the traditional, largely offline trade market in the fast-moving consumer goods (FMCG) industry. By addressing supply chain inefficiencies and operational challenges, Cartona offers an innovative, asset-light e-commerce marketplace that allows grocery retailers to conveniently order their store supplies digitally from a curated network of sellers. The startup has made impressive strides, with 188,000 retailers utilizing its platform, a presence in 17 cities across Egypt, and a customer base of over 3,000.
In July 2022, Cartona successfully closed a US$12 million Series A funding round, and the company has now announced a US$8.1 million extension to that round. The extension was led by Algebra Ventures and included participation from existing investors such as Silicon Badia and the SANAD Fund for MSME. Cartona has earmarked US$5.6 million in equity capital to accelerate growth within its key verticals, including FMCG and HORECA (Hotels, Restaurants, and Cafés). Cartona will use this capital to increase market share, establish a foundation for regional expansion into other large MENA markets, and explore potential B2B2C opportunities to further enhance the platform’s value proposition.
Additionally, the round includes US$2.5 million in debt capital from leading debt providers Camel Ventures and GlobalCorp. This infusion of capital will support Cartona’s continued expansion and operational improvements.
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“We are delighted to complete a Series A extension – which we have done from a position of strength. Our operational and financial metrics are all progressing very positively, which has helped us to attract capital from both existing and new investors,” said Mahmoud Talaat, CEO and co-founder of Cartona.
Talaat emphasized the company’s commitment to executing its strategy of transforming the traditional trade market and creating value for all stakeholders within the marketplace. He added, “Our product rollout, verticals, and offerings will continue to grow, as will our penetration of the Egyptian market. We have an exciting future ahead, replicating the successful execution of our business model in other regional markets – all aimed at making trading as easy and accessible as possible for retailers and suppliers.”
This new funding positions Cartona to continue its growth trajectory, enhance its platform’s capabilities and expand its reach both within Egypt and across the MENA region.
