Zepto Receives SEBI Approval for $1 Billion IPO
Zepto aims to become India’s first listed pure-play quick commerce platform with a proposed ₹10,000 crore IPO.
Quick Summary
Quick commerce platform Zepto has received approval from the SEBI for its proposed $1 billion IPO. The company plans to file an updated DRHP in the next 2-3 months and is targeting a stock market listing in the July–September quarter of 2026 amid rising competition in India’s quick commerce sector.
Quick commerce platform Zepto has received approval from SEBI to move ahead with its IPO. The company is now preparing to become India’s first pure-play quick commerce listing.
The company is expected to raise nearly $1 billion (around ₹10,000 crore) through IPO, according to media reports. Zepto had filed its Draft Red Herring Prospectus (DRHP) in December 2025.
SEBI issued its observations on 8 May 2026, which means the regulator has cleared the company to proceed with the public issue.
Zepto Likely to File Updated DRHP in Next 2-3 Months
After receiving SEBI’s nod, Zepto is expected to submit an updated DRHP within the next 2-3 months. The company is targeting a stock market listing during the July–September quarter of 2026.
The IPO is expected to include A fresh issue of shares, Secondary share sales by existing investors
The proceeds from the issue will mainly be used for:
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Business expansion
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Strengthening dark store network
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Competing aggressively in the quick commerce market
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Technology and operational improvements
Details About Zepto IPO
Here are some important things you should know about Zepto IPO before it launches
|
Particulars |
Details |
|
IPO Size |
Around $1 billion |
|
Expected Valuation ( as of October 2025) |
$7 billion |
|
DRHP Filed |
December 2025 |
|
Expected Listing |
Q2 FY27 (July–September 2026) |
|
Headquarters |
Bengaluru |
|
Founded |
2020 |
|
Founders |
Aadit Palicha and Kaivalya Vohra |
Source: NDTV Profit, Mint, Moneycontrol
Zepto’s FY25 Financial Performance
Zepto has seen rapid growth in the past year as demand for 10-minute grocery delivery continues to rise across India.
Although revenue more than doubled during FY25, the company’s losses also widened sharply as it continued investing heavily in expansion, warehousing, customer acquisition, and delivery infrastructure.
|
Metric |
FY25 |
|
Revenue |
₹9,669 crore |
|
Revenue Growth |
129% YoY |
|
Net Loss |
₹3,367 crore |
|
Total Funding Raised ( Since inception) |
$1.8 billion |
|
Latest Valuation |
~$7 billion |
Source: NDTV Profit, Mint, Moneycontrol
Backed by Major Global Investors
In October 2025, Zepto raised $450 million in a funding round led by the California Public Employees’ Retirement System (CalPERS). The round valued the startup at $7 billion.
Some of Zepto’s major investors include:
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General Catalyst
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Nexus Venture Partners
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Lightspeed Venture Partners
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Avenir Growth Capital
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Motilal Oswal Financial Services
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CalPERS
The startup achieved unicorn status in August 2023 after raising $200 million in its Series E funding round at a valuation of $1.4 billion.
Investment Banks Managing Zepto IPO
Zepto has appointed several leading investment banks to manage the public issue.
IPO Bankers
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Morgan Stanley
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Axis Capital
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HSBC
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Goldman Sachs
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JM Financial
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IIFL Securities
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Motilal Oswal
The company had also shifted its domicile from Singapore back to India in January 2026 ahead of the IPO process.
Other Companies That Received SEBI Approval
Along with Zepto, SEBI also approved IPO proposals of several other companies between 4 May and 8 May.
|
Company |
Sector |
|
Hotel Polo Towers |
Hospitality |
|
Crystal Crop Protection |
Agrochemicals |
|
Surgiwear |
Medical Devices |
|
Horizon Industrial Parks |
Industrial & Warehousing |
|
Dhoot Transmission |
Auto Components |
Source: CNBC TV 18
Conclusion
Zepto’s SEBI approval marks another major step in the evolution of India’s startup ecosystem and quick commerce industry. If the IPO goes ahead as planned, the company could become the country’s first listed pure-play quick commerce platform.
The public issue will also be closely watched by investors, as profitability concerns and market volatility continue to shape valuations in India’s tech startup space.