Zepto’s latest fundraising expected to double its valuation: Report

Zepto’s latest fundraising round is expected to more than double the instant grocery delivery startup’s valuation. Zepto will reportedly raise around $650 million from existing and new investors at a valuation of $3.5 billion, the double of the current $1.4 billion.

According to a report by Moneycontrol, investors are bullish on the company’s growth potential in the quick commerce segment. The existing investors include StepStone Group, Nexus Venture Partners and Glade Brook Capital. Avenir Growth, Lightspeed Venture Partners, DST Global and Avra are the new investors, the report added.

This will be Zepto’s second large fundraise in under a year’s time, it said. In August it had raised $231 million from StepStone Group, Goodwater Capital, and others. It was then valued at $1.4 billion.

A person in the know said that Nexus and its limited partner, StepStone would lead the round by putting in a majority of the total $650 million. This would be among Nexus’ largest investments ever.

Zepto, founded by Kaivalya Vohra and Aadit Palicha, was valued at around $250 million in 2021, which increased to $900 million in 2022 and then $1.4 billion in 2023.

Zepto’s management had told Goldman Sachs in April that it does 5.5 lakh orders a day through its network of 340 dark stores.