Quick-Commerce major Zepto to file DRHP for $800 million IPO soon, suggest media reports
Mumbai-based quick commerce firm Zepto is preparing to file its draft red herring prospectus for an initial public offering in December.
- Dec 16, 2025,
- Updated Dec 16, 2025 4:08 PM IST
Mumbai-based quick commerce firm Zepto is preparing to file its draft red herring prospectus for an initial public offering (IPO) in December, with the process likely to commence within the next few days, suggest some media reports. The offering is expected to raise between $750 million and $800 million, with a structure comprising both fresh shares and a secondary sale by existing investors.
The proceeds are earmarked for business expansion, and the issue will be managed by Axis Bank, Motilal Oswal Investment Advisors, and the Indian arms of Morgan Stanley, HSBC, and Goldman Sachs. As of now, the issue size, timeline, and other specifics are still being finalised and may be subject to change.
Zepto’s IPO will utilise a mix of primary and secondary shares. The fresh issue will fund expansion, while the secondary sale allows early investors to partially exit. Details such as lot size, minimum investment, reservation quotas, and listing dates remain undisclosed. The application is expected to be made through the confidential filing route.
The main objective of the IPO is to support Zepto's rapid scaling and logistics network. Expansion will include opening several hundred new stores in the next five months, beyond its current base of over 1,000 dark stores. The company is prioritising investments in automation, supply chain intelligence, and artificial intelligence capabilities.
Founded in 2020 by Aadit Palicha and Kaivalya Vohra, Zepto began as a small grocery delivery platform in Mumbai and has rapidly expanded into a $7 billion technology company. The platform currently handles close to 2 million orders daily, a significant increase from around 500,000 per day in mid-2024. This growth has been accompanied by improved unit economics and hundreds of stores turning profitable.
Zepto’s financial strength has been supported by recent funding: $665 million was raised in June 2024 at a $3.6 billion valuation, followed by a $340 million round in August and a $350 million all-domestic fundraise in November, pushing its valuation to $5 billion before the latest surge. The firm is reported to hold a cash reserve of ₹7,000 crore, potentially the largest net cash position among new age Indian startups planning a public market debut.
Order volume and net sales value have grown by about 45% over the past six months, supported by automation, higher per-store throughput, and reduced customer acquisition costs. Zepto’s cash burn is said to be declining. Competitors include Swiggy, Meesho, and Lenskart, but Zepto’s financial position reportedly stands out in terms of net cash.
Mumbai-based quick commerce firm Zepto is preparing to file its draft red herring prospectus for an initial public offering (IPO) in December, with the process likely to commence within the next few days, suggest some media reports. The offering is expected to raise between $750 million and $800 million, with a structure comprising both fresh shares and a secondary sale by existing investors.
The proceeds are earmarked for business expansion, and the issue will be managed by Axis Bank, Motilal Oswal Investment Advisors, and the Indian arms of Morgan Stanley, HSBC, and Goldman Sachs. As of now, the issue size, timeline, and other specifics are still being finalised and may be subject to change.
Zepto’s IPO will utilise a mix of primary and secondary shares. The fresh issue will fund expansion, while the secondary sale allows early investors to partially exit. Details such as lot size, minimum investment, reservation quotas, and listing dates remain undisclosed. The application is expected to be made through the confidential filing route.
The main objective of the IPO is to support Zepto's rapid scaling and logistics network. Expansion will include opening several hundred new stores in the next five months, beyond its current base of over 1,000 dark stores. The company is prioritising investments in automation, supply chain intelligence, and artificial intelligence capabilities.
Founded in 2020 by Aadit Palicha and Kaivalya Vohra, Zepto began as a small grocery delivery platform in Mumbai and has rapidly expanded into a $7 billion technology company. The platform currently handles close to 2 million orders daily, a significant increase from around 500,000 per day in mid-2024. This growth has been accompanied by improved unit economics and hundreds of stores turning profitable.
Zepto’s financial strength has been supported by recent funding: $665 million was raised in June 2024 at a $3.6 billion valuation, followed by a $340 million round in August and a $350 million all-domestic fundraise in November, pushing its valuation to $5 billion before the latest surge. The firm is reported to hold a cash reserve of ₹7,000 crore, potentially the largest net cash position among new age Indian startups planning a public market debut.
Order volume and net sales value have grown by about 45% over the past six months, supported by automation, higher per-store throughput, and reduced customer acquisition costs. Zepto’s cash burn is said to be declining. Competitors include Swiggy, Meesho, and Lenskart, but Zepto’s financial position reportedly stands out in terms of net cash.