Zepto set for $837 million IPO amid aggressive expansion plans

MUMBAI: Fast-growing quick commerce player Zepto is gearing up for a major public market debut, targeting to raise as much as $837 million through its initial public offering, according to draft filings cited in reports.

The proposed listing is set to be one of the most closely watched IPOs in India’s consumer internet space this year, as competition intensifies in the ultra-fast delivery sector.

According to reports citing the filings, the company is issuing fresh shares worth about 80.1 billion rupees, while existing investors are expected to offload up to 113.5 million shares as part of the offering.

Zepto’s revenue more than doubled in the last fiscal year to 226.24 billion rupees. However, losses also widened to 59.05 billion rupees from 47 billion rupees, driven by rising operational and expansion costs.

The company plans to use the IPO proceeds to expand its network of dark stores, invest in technology and cloud infrastructure, and pursue acquisitions to strengthen its position in the competitive quick commerce market.

Zepto, which operates in a sector defined by near-instant deliveries of groceries and everyday essentials, competes with major players including Swiggy, Amazon, Flipkart and BigBasket.

The company had previously filed confidentially for a 110 billion rupee IPO in December, without publicly disclosing full financial details, highlighting the growing battle for dominance in India’s rapidly expanding quick commerce sector.

While valuation expectations for the listing remain unclear, the company was last valued at around $7 billion in its previous funding round, when it raised $450 million.

The IPO is widely seen as a key test for investor appetite in loss-making but high-growth consumer technology firms in India, particularly in a segment where speed, scale and cash burn remain tightly intertwined.

As Zepto prepares for its market debut, the spotlight will remain firmly on whether its aggressive expansion strategy can translate into sustainable profitability in an increasingly crowded race for instant delivery supremacy.