Zepto raises $665 million at a $3.6 billion valuation, to go public soon
Avenir, Lightspeed and Avra (Anu Hariharan's new fund) joined the company's cap table as new investors, among others.
Quick delivery platform and Blinkit's rival Zepto on Friday said it had raised $665 million at a $3.6 billion valuation in a highly oversubscribed round -- just nine months after the company raised $235 million at a $1.4 billion valuation.
Avenir, Lightspeed and Avra (Anu Hariharan's new fund) joined the company's cap table as new investors, among others.
Existing investors Glade Brook, Nexus, and StepStone co-led the round with Goodwater and Lachy Groom doubling down as well, the company said in a statement.
"This dynamic of stores turning profitable faster and faster has enabled Zepto to grow rapidly while simultaneously achieving near EBITDA positivity at a company level,” said Aadit Palicha, Zepto's Co-founder and CEO.
“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,” he added.
If the company is able to achieve this while continuing to delight customers, “I believe we will be ready to go public relatively soon.”In terms of business performance, Zepto's gross merchandise value (GMV) has multiplied year-on-year to a base of more than $1 billion, and 75 per cent of the company's stores are fully EBITDA positive (as of May).
With the new round of funding, “We plan to hire top talent across engineering, product, growth, finance, operations, and category management,” said Kaivalya Vohra, Co-founder and CTO, Zepto.
Founded in 2021 by Stanford University dropouts, Aadit Palicha and Kaivalya Vohra, Zepto became one of India's fastest-growing internet companies.
Headquartered in Mumbai, Zepto delivers over 10,000 products, ranging across categories in 10 minutes.
“The Zepto team embodies what is possible for the next generation of Indian founders, and Glade Brook could not be more excited to continue our partnership,” said Paul Hudson, CIO of Glade Brook Capital Partners.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
EPFO calculator: Know how on Rs 21,000 basic salary you can accumulate over Rs 2 crore corpus at retirement
NPS Vatsalya Calculator: How your Rs 1,000 monthly contribution can help your child get Rs 15.10 crore at retirement; see calculations
SIP+SWP: Rs 21,000 monthly SIP investment for 20 years and then Rs 1,20,000 monthly income for 43 years; know it can be possible
Latest SBI Senior Citizen FD Rates: What are expected returns on investments of Rs 6 lakh, Rs 11 lakh, Rs 16 lakh, or Rs 21 lakh in 1, 3 or 5-year fixed deposit schemes
70:15:15 Investment Strategy: Can you build over Rs 1.5 crore retirement corpus with just Rs 20,000 salary? Know how
11:33 AM IST