Quick commerce platform Zepto is on the verge of raising $100 million in a new funding round led by Motilal Oswal, along with contributions from high-net-worth individuals (HNIs) and family offices. The company has been actively working on this round for several months, seeking to attract more domestic investors. The funding will come at the same valuation as earlier rounds announced this year.
In August 2024, Zepto raised $340 million, bringing its valuation to $5 billion, following a $665 million raise in June, which valued the company at $3.6 billion. In total, Zepto has secured over $1 billion in 2024 alone, with plans to expand its footprint into Tier 2 and Tier 3 cities, while strengthening its presence in metropolitan areas and Tier 1 markets.
Zepto's CEO and co-founder, Aadit Palicha, emphasized the company’s disciplined approach to growth, stating in June, “We plan to continue operating with fiscal discipline as we scale from 350 stores to 700 stores by reinvesting the capital generated from mature stores back into the business. If we are able to achieve this while continuing to delight customers, I believe we will be ready to go public relatively soon.”
The company is also preparing to launch Zepto Postpaid, a buy now, pay later (BNPL) service designed for larger orders. Zepto reported that its Gross Merchandise Value (GMV) for FY24 exceeded $1 billion, with around 75% of its stores achieving full EBITDA profitability by May 2024. Looking ahead, Zepto is eyeing an IPO and plans to relocate its headquarters to India.