Indian quick-commerce giant Zepto Ltd. is reportedly preparing to file for a $500 million initial public offering (IPO) in Mumbai as early as next week, signaling a significant milestone in the rapidly evolving grocery delivery sector.
The company, known for its 10-minute delivery promise, is working with prominent financial institutions like Axis Bank Ltd., Morgan Stanley, and Goldman Sachs to submit its draft prospectus through a confidential route, according to sources familiar with the matter.
Zepto's Rise in India's Quick-Commerce Landscape
This IPO comes on the heels of Zepto’s recent $450 million fundraising round in October 2025, which valued the company at an impressive $7 billion.
Founded in 2021, Zepto has quickly emerged as a key player in India’s quick-commerce market, competing fiercely with giants like Amazon India, Swiggy, Zomato, and Tata Group’s BigBasket.
Impact on India’s Booming E-Commerce Sector
The proposed IPO is expected to include a mix of fresh issues and secondary share sales, with proceeds aimed at expanding Zepto’s network and strengthening its competitive edge in a market projected to reach $35 billion by 2030.
India’s quick-commerce sector, valued at $5.38 billion in 2025, has seen explosive growth, driven by urban demand for instant delivery services, but concerns over sustainability and high cash burn rates loom large.
Historical Context and Strategic Moves
Zepto’s journey from a private startup to a public entity—recently transitioning to Zepto Limited—reflects its strategic preparation for this IPO, initially planned for 2026 but accelerated due to market momentum.
The company also flipped its base from Singapore back to India earlier in 2025, aligning with regulatory preferences and boosting investor confidence ahead of its public debut.
Future Prospects and Challenges Ahead
Looking forward, Zepto’s IPO could set a benchmark for other quick-commerce players, potentially triggering a wave of listings in India’s record-breaking Rs 2.5 lakh crore IPO pipeline for 2026.
However, industry experts warn of a possible quick-commerce bubble, with consolidation and reduced discounts on the horizon as companies like Zepto balance growth with profitability.
For now, Zepto’s bold move to go public underscores its ambition to dominate India’s fast-paced delivery market, even as it navigates intense competition and operational challenges.
Maria Lourdes
