- Zepto received SEBI approval to go public with a $1 billion IPO plan
- The Bengaluru-based quick commerce firm filed a confidential DRHP in December
- Zepto secured shareholder approval for the IPO in an extraordinary meeting
Zepto, one of India's leading quick commerce application, is all set to go public after receiving SEBI's (Securities and Exchange Board of India) formal approval on Friday. Zepto is expected to raise $1 billion, sources close to company said.
Moving ahead, Zepto will look to file an updated draft red herring prospectus (DRHP) in the next two months with the market regulator.
The Bengaluru-based company had filed a confidential DRHP back in December for this $1 Billion (nearly Rs 10,000 crore) IPO, largely comprising a primary issuance.
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In April, NDTV Profit had reported that Zepto received an in-principle approval from SEBI to go public. However, till then the company was still in the “testing the waters” phase — a regulatory provision that allows firms to gauge interest from institutional investors before formally filing IPO papers.
Sources close to the company indicated that Zepto was continuing discussions with investors to assess demand, valuations and market appetite.
ALSO READ: Zepto Files Confidential Papers For Rs 11,000-Crore IPO With SEBI
Zepto received shareholder approval for the IPO at an extraordinary general meeting held on December 23, making it one of the youngest startups to tap the public markets.
The company has appointed Morgan Stanley, Axis Capital, HSBC, Goldman Sachs, JM Financial, IIFL Securities and Motilal Oswal as bankers for the issue. Zepto had shifted its domicile back to India from Singapore in January.
In October, Zepto raised $450 million in a mix of primary and secondary transactions, valuing the company at $7 billion.
Based in Bengaluru, Zepto competes with Swiggy and Zomato parent Eternal, both of which are already listed. The company is targeting a listing in the July–September quarter of 2026. Its confidential filing, a route earlier used by companies such as Swiggy, Meesho and Groww, will allow Zepto to revise the IPO size before the final launch.
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