Quick commerce startup Zepto is reportedly in the final stages of securing $500 million in fresh funding, with existing investors including General Catalyst and Avenir likely to lead the round. The upcoming fundraise is expected to value the Mumbai-based company at around $7 billion, a sharp rise from its $5 billion valuation in November 2024, when it raised $350 million.
In 2024 alone, Zepto, led by Aadit Palicha, secured a total of $1.35 billion in funding. This new investment comes shortly after the company delayed its planned initial public offering to 2026. Earlier this year, Zepto completed its reverse flip back to India in January, as part of its IPO preparation strategy.
The company is currently focused on reducing cash burn and improving profitability before going public. As part of cost-control efforts, Zepto has temporarily closed its Zepto Cafe operations in several smaller North Indian cities, including Agra, Chandigarh, Meerut, Mohali, and Amritsar.
Zepto continues to face stiff competition from Blinkit and Swiggy Instamart, which saw over 25 percent and 22 percent growth in gross order value in Q1 FY26, outperforming the sector’s sub-20 percent average growth.
In April, Palicha announced that Zepto is now approaching an annualized Gross Order Value of $4 billion. He added that the company scaled from $1 billion to $3 billion in just eight months, marking a 300 percent year-on-year growth and a 30 percent jump since January 2025.
He also mentioned that most of Zepto’s dark stores are expected to become EBITDA positive in the upcoming quarter. Earlier this year, the company closed a $665 million Series F round and followed it with a $340 million top-up, taking its total 2024 raise past the $1 billion mark.
The new funds are expected to support Zepto’s expansion in metros and Tier II and III cities, strengthen its technology infrastructure, and improve supply chain efficiency. While reports initially indicated a delayed IPO, the company is now aiming for a late 2025 or early 2026 public listing, depending on market conditions. Zepto is also aligning its cap table to attract more domestic investors ahead of the India listing.
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