July 16, 2024 21:42 (IST)
Follow us:
facebook-white sharing button
twitter-white sharing button
instagram-white sharing button
youtube-white sharing button
Trainee IAS officer Puja Khedkar recalled to academy, her training put on hold | Bengal teacher recruitment scam: Supreme Court asks respondents to file counter pleas | Supreme Court serves notice to CBI, ED over Manish Sisodia's bail plea | Rahul Gandhi slams 'BJP's wrong policies' after 4 soldiers martyred in Kashmir's Doda | Bihar politician Mukesh Sahani's father murdered at home, mutilated body found
Zepto raises $665 million in funding, company value goes up to $3.6 billion

Zepto raises $665 million in funding, company value goes up to $3.6 billion

| @indiablooms | 21 Jun 2024, 04:42 pm

Quick-commerce company Zepto on Friday announced it has secured $665 million in a funding round, which has doubled its valuation to $3.6 billion, media reported.

This round is one of the largest in the quick commerce sector this year.

The Series F round was co-led by existing investors StepStone Group, Nexus Venture Partners, Glade Brook Capital, Goodwater, and Lachy Groom.

New investors Avenir Growth, Lightspeed Venture Partners, and Avra also participated. This funding arrives as Zepto prepares for an initial public offering (IPO) within the next 12-15 months and aims to achieve profitability before going public, according to media reports.

This development intensifies the quick commerce competition with rivals such as Zomato-owned Blinkit, Swiggy Instamart, which is preparing for the public markets, and Tata Digital-owned BigBasket also expanding their operations.

Zepto's gross merchandise value (GMV) has grown year-on-year to exceed $1 billion, with approximately 75% of the company’s stores being fully EBITDA positive as of May 2024. According to Palicha, the stores now reach profitability in six months, a notable improvement from the previous 23 months, reported Business Standard.

“We have executed fairly well and are the fastest-growing Indian company to hit a billion dollars in GMV (gross merchandise value) terms and we continue to grow at over 100% year-on-year… I think, if we didn't execute regardless of what industry we were in, we would not have been able to successfully get this financing,” Palicha said on the mega fundraise, according to the Economic Times.

Support Our Journalism

We cannot do without you.. your contribution supports unbiased journalism

IBNS is not driven by any ism- not wokeism, not racism, not skewed secularism, not hyper right-wing or left liberal ideals, nor by any hardline religious beliefs or hyper nationalism. We want to serve you good old objective news, as they are. We do not judge or preach. We let people decide for themselves. We only try to present factual and well-sourced news.

Support objective journalism for a small contribution.