Mumbai-based quick commerce unicorn Zepto is reportedly in talks to raise an additional USD 400 million at a post-money valuation of USD 5 billion, according to media reports. This comes just five days after the startup raised USD 665 million, achieving a post-money valuation of USD 3.6 billion.
The recent funding round was co-led by Glade Brook, Nexus, and StepStone Group, with participation from Avenir, Lightspeed, Avra, Goodwater, Lachy Groom, Contrary, and DST Global.
Founded in 2021 by Stanford dropouts Kaivalya Vohra and Aadit Palicha, Zepto operates in the competitive quick commerce market, delivering groceries, household items, and electronic accessories to urban Indian consumers within minutes. The startup uses a network of "dark stores"—small warehouses located close to high-demand areas—enabling swift delivery times.
Zepto currently has over 50,000 delivery partners, adding about 5,000 new partners each month. The company plans to expand its dark store network from 350 stores in 10 cities to 700 by March 2025. Competitors Blinkit and Swiggy also have significant expansion plans, with Blinkit aiming for 1,000 stores and Swiggy currently operating 487 stores.
Zepto expects to reach USD 1.5 billion in annualized gross merchandise value (GMV) by next month and is generating USD 300 million in annualized gross profit. This is an increase from the USD 1.1 billion in annualised GMV reported in March, which was the basis for the latest valuation.
The startup compares its valuation growth to Zomato, which owns quick-commerce platform Blinkit.
