Mumbai : Quick-commerce unicorn Zepto has reportedly deferred its much-anticipated Initial Public Offering (IPO) and is preparing to raise approximately ₹1,000 crore through a pre-IPO funding round at a valuation of around USD 4.5 billion. The move is aimed at strengthening the company’s shareholder base while increasing domestic investor participation ahead of its eventual public listing.
The latest development marks a strategic shift in Zepto’s fundraising roadmap, as the company recalibrates its IPO timeline amid evolving market conditions and investor sentiment.
IPO Deferred, Focus Shifts to Pre-IPO Capital Raise
According to sources familiar with the matter, Zepto’s IPO, which was previously targeted for July 2026, has been put on hold for the time being. Instead, the company is prioritizing a ₹1,000 crore pre-IPO funding round, primarily backed by Indian institutional and domestic investors.
The proposed fundraising is expected to increase Indian shareholding, which currently stands at approximately 40%, potentially strengthening the company’s domestic ownership structure before its stock market debut.
The company has not officially commented on the reports, and an email seeking clarification reportedly received no response.
Valuation Moderates to USD 4.5 Billion
The upcoming funding round is expected to value Zepto at approximately USD 4.5 billion, representing a significant decline from the USD 7 billion valuation it achieved in October 2025.
During that earlier funding round, the company had raised USD 450 million, led by the California Public Employees’ Retirement System (CalPERS), one of the world’s largest public pension funds.
Industry analysts suggest the revised valuation reflects changing market dynamics, increased investor focus on profitability, and more conservative pricing in the technology and startup ecosystem.
IPO Plans Continue Despite Delay
Although the IPO has been postponed, Zepto continues to move forward with its listing preparations.
The company had filed its confidential Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) in December 2025 through the confidential pre-filing route.
According to the updated draft documents submitted to the market regulator, Zepto plans to raise approximately ₹8,010 crore through a fresh issue of equity shares.
In addition, the IPO will include an Offer for Sale (OFS) comprising 11.35 crore equity shares, allowing existing shareholders to partially monetize their holdings.
Competition in India’s Quick-Commerce Market
Once listed, Zepto will become one of India’s major publicly traded quick-commerce companies, joining rivals such as Eternal and Swiggy, whose respective quick-commerce platforms Blinkit and Instamart continue to expand aggressively.
The sector has witnessed rapid growth, fueled by increasing consumer demand for ultra-fast grocery and daily essentials delivery, particularly in metropolitan and tier-one cities.
Strong Financial and Operational Growth
Despite postponing its IPO, Zepto continues to demonstrate impressive operational performance.
For FY26, the company reported:
- Revenue from Operations: ₹22,624 crore
- Net Receivables Value (NRV): ₹24,816 crore
- Average Daily Orders: 17.5 lakh
- Store Network: 1,139 dark stores as of March 31, 2026
- Annual Transacting User Base: Nearly 48 million customers
During the March 2026 quarter, Zepto processed approximately 210 million orders, translating into an average of 23.3 lakh orders per day, highlighting the continued expansion of its customer base and delivery network.
Strategic Move Before Public Listing
Industry experts believe the proposed pre-IPO fundraising will provide Zepto with additional capital to support network expansion, technology investments, supply chain enhancement, and customer acquisition, while also improving its ownership profile before entering the public markets.
The decision to attract a larger base of domestic investors is viewed as a strategic step that could strengthen investor confidence when the company eventually launches its IPO.
Looking Ahead
While the postponement may delay Zepto’s stock market debut, the company remains one of India’s fastest-growing quick-commerce platforms. Its strong financial growth, expanding customer base, and continued investor interest indicate that it remains well-positioned for a future public listing once market conditions become more favorable.
With a planned ₹1,000 crore pre-IPO funding round, a robust operational footprint, and a sizeable proposed ₹8,010 crore IPO, Zepto continues to reinforce its ambitions of becoming a dominant player in India’s rapidly evolving digital commerce and quick-delivery ecosystem.
