Cascaded multicell converter (CMC) is proved to be an effective solution for medium voltage drives. Three-phase diode bridge rectifiers are normally used in this converter, which do not have regeneration capability. Pulsewidth-modulated (PWM) rectifier-based power cells enable the drives with regeneration capability. However, due to their two-level voltage operation at the input side, an inductor is required for each cell to filter out the switching frequency components from the input current. In this paper, a new configuration with single-phase PWM rectifier-based power cell is proposed to achieve multilevel voltage operation at both the input and output sides of the converter. Therefore, the devices at the rectifier side are also operated at reduced switching frequency without using any filter inductor for each cell. In the proposed converter, simple modular transformers are used instead of a single large and complex transformer that is used in the conventional CMC. Further, input phase currents of the converter are controlled in the synchronously rotating d–q frame, which requires only two current sensors at the input side instead of individual current sensors for each cell. Experimental validation of the proposed converter configuration is carried out on a 4.5-kVA prototype, and the results are presented.