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Zepto moves closer to IPO with updated papers for Rs 9,500 crore public issue
Quick commerce firm eyes July debut as it ramps up expansion and narrows losses
MUMBAI: Quick commerce player Zepto has taken a significant step towards its stock market debut, filing updated draft papers with the Securities and Exchange Board of India (SEBI) for a proposed Rs 9,500 crore initial public offering (IPO).
The five-year-old company is seeking to raise Rs 8,010 crore through a fresh issue of shares, while existing investors will offload part of their holdings through an offer-for-sale (OFS) of 113 million shares. Industry sources indicate that Zepto is targeting a July listing, positioning it among the most closely watched technology IPOs of the year.
If the issue proceeds as planned, Zepto will become the first standalone quick commerce company to list on Indian stock exchanges. It will join Blinkit parent Eternal and Swiggy-backed Instamart among publicly traded players in India’s rapidly evolving instant delivery market.
The OFS will see participation from early backers including Nexus Venture Partners, Contrary Capital, Razor Capital and entities linked to Kaiser Permanente. The final size of the OFS is expected to be determined closer to the launch of the issue.
Zepto last raised capital in October 2025, securing $450 million at a valuation of $7 billion. Investors in that round included CalPERS, General Catalyst, Goodwater Capital and Lightspeed.
According to the updated prospectus, the company plans to deploy the IPO proceeds towards expanding its dark store network across existing and new markets, funding lease rentals, investing in technology and cloud infrastructure, supporting marketing initiatives and pursuing potential inorganic growth opportunities.
As of March 31, 2026, Zepto operated 1,139 dark stores across the country, reflecting the aggressive expansion strategy that has fuelled its rise in the quick commerce sector.
The financials highlight both the scale of growth and the challenges of building a profitable quick commerce business. For the January-March quarter, Zepto reported operating revenue of Rs 7,498 crore, a 75 per cent increase from a year earlier. Net losses narrowed to Rs 1,539 crore from Rs 1,832 crore in the corresponding period last year.
Order volumes also continued to climb. During the fourth quarter, Zepto processed 210 million orders, compared with 274 million for Blinkit and 113 million for Instamart.
The company operates in an increasingly crowded market, competing not only with Blinkit and Instamart but also with Tata Group-owned BigBasket, Flipkart Minutes and Amazon Now. The entry of ecommerce giants Amazon and Flipkart into the 10-minute delivery space has intensified competition and triggered fresh pricing battles across the sector.
Founded by Aadit Palicha and Kaivalya Vohra, Zepto has emerged as one of India’s most prominent consumer internet startups. The founders, along with their families and family offices, collectively hold a 19.6 per cent stake in the company.
The board includes Palicha, Vohra, Glade Brook Capital founder Paul Hudson, chief financial officer Ramesh Bafna, Avra founder Anu Hariharan and former Bharti Enterprises chairman Akhil Gupta. Hudson currently serves as chairman of the board.
The IPO will be managed by a consortium of investment banks including Axis Capital, Morgan Stanley India, Goldman Sachs (India) Securities, Motilal Oswal Investment Advisors, HSBC Securities and Capital Markets (India), JM Financial and IIFL Capital Services.
Zepto’s market debut comes at a pivotal moment for India’s quick commerce industry. While growth remains strong, investors are increasingly focused on profitability and sustainable expansion. The company’s public listing is expected to provide a crucial test of market appetite for high-growth, venture-backed internet businesses in the country’s evolving capital markets landscape.
