Zepto Raises $350 Million; Motilal Oswal, Abhishek Bachchan, Sachin Tendulkar Buy In
This is Zepto's third fundraise this year.
Quick commerce company Zepto announced that it has raised $350 million in a completely domestic fundraise. This is the company's third fundraise this year.
The round included investments from Indian high net worth individuals, family offices, and leading financial institutions, Zepto said in the statement. Motilal Oswal's private wealth division led the issue. Others who invested in the fundraise include Raamdeo Agrawal, Abhishek Bachchan, Sachin Tendulkar, Mankind Pharma Family Office, Taparia Family Office, RP Sanjay Goenka Group, etc.
This year, the company has already raised $1 billion in funds, pushing its valuation up to $5 billion from $3.6 billion earlier. NDTV Profit had last week reported that the company aimed to raise $300 million from HNIs and family offices.
The latest fundraise is being looked at as a way to boost its war chest as it expands into ten new cities across India. The company is also going to continue doubling down in its existing markets, where it has already proven high degrees of profitability, continuing to grow the business to over Rs 10,000 crore in sales.
Zepto is currently expanding its dark store network from 350 stores to 700 stores by reinvesting the capital generated from mature stores back into the business.
The fresh investment could see the company increase its store count beyond 700 as well, given the renewed bullishness from incumbents Swiggy Instamart and Zomato's Blinkit, as well as newer entrants like BigBasket Now and Flipkart's Minutes.
The company is also on its way to an initial public offering. Zepto had earlier said that the company will go public in early 2025, however, CEO and Co-founder Aadit Palicha has said this could spill into the next year.
