Egyptian startup Cartona, a B2B platform aimed at digitizing and empowering mom-and-pop stores, hotels, restaurants, cafes, FMCG companies, and wholesalers, has raised $8.1 million in a Series A extension round, combining debt and equity to further expand both domestically and internationally.

Cartona focuses on resolving supply chain and operational challenges in the fast-moving consumer goods (FMCG) sector by bringing the traditional, largely offline trade market into the digital age. The startup provides an asset-light marketplace that allows grocery retailers to digitally order their store supplies from a curated network of sellers. Currently, Cartona has onboarded 188,000 retailers, operates in 17 Egyptian cities, and serves over 3,000 customers.

Following a $12 million Series A funding round in July 2022, Cartona has now announced an $8.1 million extension to that round. The extension was led by Algebra Ventures and included participation from existing investors Silicon Badia and the SANAD Fund for MSME. The $5.6 million in equity capital from this round will be used to accelerate growth across Cartona’s various verticals, including FMCG and HORECA, increase market share, lay the groundwork for regional expansion into new markets in MENA, and explore B2B2C opportunities. Additionally, $2.5 million in debt capital was secured from leading debt providers Camel Ventures and GlobalCorp.

“We are thrilled to secure this Series A extension, which we have achieved from a strong position. Our operational and financial metrics have been very positive, attracting capital from both existing and new investors,” said Mahmoud Talaat, CEO and co-founder of Cartona. “We are dedicated to executing our strategy, which includes transforming the traditional trade market and creating value for all marketplace stakeholders. Our product rollout, verticals, and offerings will continue to expand, as will our presence in the Egyptian market. We have an exciting future ahead, replicating the successful execution of our business model in other regional markets, making trading as easy and accessible as possible for retailers and suppliers.”

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