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Quick commerce platform Zepto is reportedly looking to increase its initial public offering (IPO) size to $800 Mn–$1 Bn, including secondaries. According to an ET report, its CEO, Aadit Palicha, recently discussed the company’s IPO plans with top mutual funds. Zepto is reportedly projecting gross sales of $5.5 Bn in the final quarter of FY26 while achieving positive EBITDA (excluding ESOPs). This projection is nearly equivalent to the annual gross sales of the entire quick commerce industry in the previous calendar year, according to several brokerages.
Zepto initiated its IPO plans in mid-2024, initially targeting a $450 Mn primary capital raise. According to sources, the offering size is now expected to exceed $800 Mn, including $300–400 Mn in shares sold via an offer for sale (OFS) and an increased primary fundraise through new share issuance.
The Bengaluru-based startup has also surpassed 900 dark stores, exceeding its earlier target of 700 by March. The company is now aiming to expand its network to approximately 1,000 stores.
Founded in 2021 by Palicha and Kaivalya Vohra, Zepto currently operates under a B2B model. Its parent, Kiranakart Technologies, procures goods directly from brands and sells them exclusively to its licensee companies, including the likes of Geddit Convenience, Drogheria Sellers and Commodum Groceries.
The quick commerce firm earns revenue by levying a fee on these companies for using its brand and platform.
The development comes at a time when the company has already obtained the necessary permissions to relocate its base from Singapore to India ahead of the public listing.
As part of its IPO plans, it has also set up a new entity, Zepto Marketplace Private Limited, as part of its restructuring plans.
Amid the rising competition in the quick commerce space, the Palicha-led company is also doubling down on its presence in India. While Zepto was operational in seven cities in 2023, this number rose to 35 last year and its dark store count doubled to 650 from 300 earlier.
