Zepto IPO: Draft Papers To Be Filed By March-April 2025 – Key Details Unveiled

Zepto, a fast-growing quick-commerce platform, is on track to file its Initial Public Offering (IPO) draft papers by March or April 2025, as per a recent report by The Economic Times. The move is part of Zepto's ambitious plans to establish itself as the pioneer of quick-commerce startups going public in India.

Zepto’s IPO Plans: What’s on the Horizon?

Zepto, renowned for its ultra-fast delivery services, has already taken significant steps toward the public listing. The company has received approvals to transition its base from Singapore to India, ensuring smoother compliance with Indian regulatory frameworks ahead of the IPO.

Zepto IPO: Opening Date, Price, Lot Size, GMP, and Bankers

Key Milestone: Upcoming Board Meeting

A crucial board meeting scheduled for January 19, 2025, will finalize pivotal IPO-related decisions. These include:

• Appointing investment bankers.

• Selection of independent directors.

• Determining the IPO size.

The opening date for the IPO will be disclosed closer to the public listing.

Grey Market Premium (GMP)

Details on GMP will emerge once the IPO process gains traction. The price and lot size will be announced a few days before the IPO's opening.

Regulatory Updates and First-Mover Advantage

Zepto has already cleared regulatory hurdles with Singapore authorities for its base shift. The National Company Law Tribunal (NCLT) will hear the final matter on January 17, 2025.

If Zepto successfully lists, it will claim the title of India’s first quick-commerce startup to go public, ahead of its rivals' parent companies, Zomato (Blinkit) and Swiggy (Instamart).

Transition to a Marketplace Model: A Strategic Overhaul

Zepto is undergoing a paradigm shift from a traditional B2B model to a marketplace model under its newly formed entity, Zepto Marketplace, registered in October 2024.

This transition aims to:

• Strengthen quality control and enhance customer service.

• Introduce “Thor,” a SaaS-based inventory management platform, to optimize operations.

Zepto’s competitors like Blinkit and Swiggy Instamart already operate on the marketplace model.

How Zepto Operates Today

Under its current structure, Zepto licenses its brand and operations to three entities:

1. Geddit Convenience

2. Drogheria Sellers

3. Commodum Groceries

These entities purchase stock from Kiranakart Technologies Pvt Ltd, which operates as a B2B supplier sourcing products directly from brands. They then sell the products to consumers via Zepto’s platform, paying licensing fees for every transaction.

Zepto’s Growth Trajectory

Revenue Surge and Expansion

Zepto's operating revenue soared by 120% to ₹4,454 crore in FY24, reflecting its robust growth. The company plans to:

• Expand operations to over 50 cities by the next quarter, up from its current presence in about two dozen cities.

• Launch a separate app for Zepto Cafe, focusing on quick delivery of snacks and food items.

Funding and Valuation of Zepto

In November 2024, Zepto raised $350 million in a funding round involving Indian HNIs, family offices, and financial institutions. The company’s valuation now stands at a staggering $5 billion.

Conclusion

Zepto's journey towards its much-anticipated IPO marks a pivotal moment for the quick-commerce sector in India. By transitioning to a marketplace model and introducing innovative platforms like "Thor," the company is positioning itself for long-term sustainability and growth. Its impressive revenue figures, aggressive expansion plans, and $5 billion valuation showcase its dominance and potential in the competitive landscape.

If successful, Zepto will not only set a benchmark as the first quick-commerce startup to go public but will also pave the way for other players in the sector. With a robust operational overhaul, regulatory clearances, and a clear vision, Zepto is gearing up to make its mark in the Indian stock market and beyond. The coming months will be crucial as the company finalizes key IPO details and takes its first step toward a public listing.