Quick commerce firm Zepto has received SEBI approval to proceed with its IPO, paving the way for an updated draft red herring prospectus to be filed in about six to eight weeks. Sources say the company is targeting a sizable listing potentially worth Rs 11,000–12,000 crore, with sizing and pricing still not final. Zepto is also reported to hold Rs 6,000–7,000 crore in cash. The move comes as rivals like Blinkit and Instamart see growth moderation but improving profitability.
Sebi has granted approval for IPO fundraising to six companies, including quick commerce unicorn Zepto and auto components maker Dhoot Transmission. The development signals fresh capital-market momentum as these firms move from regulatory clearance toward listing plans. Investors will now watch timelines, offer structures, and how each company positions growth to match market expectations.
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Quick commerce giant Zepto has received key SEBI approvals, with observations issued on its draft red herring prospectus between May 4 and 8 as part of a batch covering six firms. The company’s IPO is currently expected around Rs 8,000–9,000 crore, down from an earlier Rs 11,000–12,000 crore, setting up a public debut alongside Zomato and Swiggy.
Swiggy and Urban Company ended the March quarter in losses, even as their revenues rose, underscoring the tough squeeze between growth and profitability. In the same ETtech Top 5, Zepto reportedly received an IPO go ahead, signaling a different path for new-age startups navigating investor expectations.
Reliance Industries is accelerating its quick commerce push by converting more than 20,000 stores into local fulfillment centers. The strategy is already paying off: hyperlocal orders have surged fourfold in Q4, threatening the dominance of Blinkit and Zepto while reshaping how consumers buy groceries, electronics, and fashion on fast delivery timelines.
Zepto cofounder Aadit Palicha told YC Startup School that every rupee saved in the supply chain can ultimately return to customers. He outlined the company’s goal to become India’s top grocery delivery platform in 4–5 years, potentially as an “India’s own Amazon.” With a major IPO in preparation and active investor talks, the focus remains on early execution and operational efficiency.
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Zepto has started talks with institutional investors ahead of its planned June-July IPO, seeking capital as quick commerce competition heats up. The company says it has sharply reduced quarterly cash burn and is targeting full-year profitability by FY2028-29, while expanding order volumes through demand growth rather than adding dark stores.
After meeting Union Labour and Employment Minister Mansukh Mandaviya, Zepto cofounder Aadit Palicha said the quick commerce firm backs government initiatives and is willing to accept constructive suggestions. Palicha highlighted the company’s employment footprint, citing over 180,000 delivery partners and more than 40,000 store and warehouse-related workers, while noting other gig players have helped sustain the ecosystem.
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