Zepto, the Mumbai-based quick commerce startup, has secured a substantial investment of $100 million in its latest funding round, led by Motilal Oswal Financial Services. This marks Zepto’s third major funding round within six months, maintaining its valuation at $5 billion.
💰 Investment Details
- Lead Investor: Motilal Oswal Financial Services committed $40 million directly.
- Additional Funding: An additional $60 million was raised from Indian family offices and high-net-worth individuals (HNIs), facilitated by Motilal Oswal.
- Personal Investment: Raamdeo Agrawal, Chairman and Co-founder of Motilal Oswal, personally invested $15 million in this round.
📈 Zepto’s Growth Trajectory
Zepto has demonstrated rapid growth in the quick commerce sector:
- Total Funds Raised in 2024: Over $1.3 billion, including previous rounds of $665 million in June and $340 million in August.
- Expansion Plans: The company aims to deepen its presence in Tier 1 cities and expand into Tier 2 and Tier 3 markets across India.
- Operational Metrics: As of May 2024, approximately 75% of Zepto’s stores achieved full EBITDA positivity. Inc42 Media
🏃♂️ Strategic Moves Ahead
- IPO Plans: Zepto is preparing for an initial public offering (IPO) in 2025, with investment banks like Goldman Sachs and Morgan Stanley reportedly involved in the process.
- Product Diversification: The company is set to launch “Zepto Postpaid,” a buy now, pay later (BNPL) service aimed at larger order sizes.
- Competitive Landscape: Zepto continues to compete with major players like Swiggy’s Instamart, Zomato’s Blinkit, and Tata’s BigBasket in the burgeoning quick commerce market.
🔍 About Zepto
Founded in 2021 by Aadit Palicha and Kaivalya Vohra, Zepto has revolutionized the grocery delivery space in India by offering 10-minute deliveries. The company’s focus on speed and efficiency has resonated with urban consumers, leading to its rapid ascent in the market.
