In a recent development, Zepto has secured INR 400 crores in its latest funding round, with Motilal Oswal once again stepping in as the investor, following their USD 350 million investment in November 2024 from their Private Wealth division.
In a significant move for the quick commerce sector in India, Zepto, a leading unicorn in the space, has raised INR 400 crore in a fresh funding round. This latest round was led by Motilal Oswal Financial Services, marking another step in Zepto's capital-raising spree.
The investment was executed with the objective of generating sustainable, long-term returns. Zepto's recent funding round is another significant step in the brand's preparations for an Initial Public Offering (IPO), planned for early 2026. The company aims to raise approximately $800 million to reach a valuation around $7 billion, reflecting a 40% increase from the previous year.
Zepto's strategic move to boost domestic shareholding differentiates its funding approach compared to others in the sector. As of mid-2025, the company has targeted over 50% Indian ownership ahead of its IPO, following its domicile shift from Singapore to India to comply with listing regulations.
This contrasts with quick commerce firms like Blinkit and Swiggy, which have historically observed significant foreign funding, although specific foreign investment figures for these companies are not detailed in the current data. Under current foreign direct investment norms, 100 percent foreign investment is allowed in the marketplace model, but is restricted in the inventory-based model.
In November 2024, Zepto secured USD 350 million in a funding round, which was also led by Motilal Oswal's Private Wealth division. About 21 percent of Zepto's QIP in November 2024 was subscribed by different arms of Motilal Oswal's mutual funds. The latest funding round also saw participation from several Indian high net worth individuals, family offices, and various companies including Taparias, Mankind Pharma, RP Sanjiv Goenka Group, Cello, Haldiram Snacks, Sekhsaria, and Kalyan.
Meanwhile, Swiggy is considering a move towards an inventory-led structure, while Blinkit, owned by Eternal, has announced plans to shift its dark stores to an inventory model in the coming quarters.
As Zepto prepares for its IPO, it holds approximately 29% of the quick commerce market, second to Blinkit. The precise comparison between Zepto, Blinkit, and Swiggy's foreign investment levels would require further data for a more accurate analysis.
In summary, Zepto's latest funding round is a significant step in the brand's journey towards an IPO, aiming to increase its domestic investor shareholding and prepare for a valuation of around $7 billion. The strategic move towards increased domestic ownership differentiates Zepto from competitors like Blinkit and Swiggy, although specific foreign investment figures for these companies would require further data for a precise comparison.
References:
- Zepto raises $350 mn in funding round led by Motilal Oswal's Private Wealth division
- Zepto to raise $800 million in IPO, aiming for $7 billion valuation
- Zepto's IPO plans: Here's all you need to know
- Zepto to increase domestic investor shareholding ahead of IPO
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