Zepto confidentially files for IPO, seeks about Rs 110 to 117 billion listing

Zepto, the fast delivery startup founded in 2021, filed confidential draft papers with the Securities and Exchange Board of India on December 29 as it prepares one of the most watched Indian technology listings expected in 2026. Media accounts place the headline size of the proposed initial public offering at roughly Rs 110 to 117 billion, equivalent to about $1.22 to $1.3 billion, with the offering likely to include a significant fresh capital raise alongside a secondary sale by early investors.

Multiple sources indicate Zepto plans to raise about Rs 11,000 crore of fresh capital as part of the headline amount, with the balance coming from existing shareholders selling stock. The confidential filing route gives the company flexibility to revise the issue size, pricing band and timing before a final prospectus is filed, a strategy previously used by other large Indian startups preparing to list.

Zepto operates a network of approximately 1,000 to 1,100 dark stores across India, according to reported figures, placing it close to rival Instamart and behind Blinkit, which has reported more than 1,800 dark stores. The company uses these inventory hubs and a dense delivery network to promise delivery of groceries and essentials in a matter of minutes, a business model that has attracted heavy venture capital but also mounting scrutiny about unit economics.

Research firm Tracxn valued Zepto at about $7 billion in its last funding round in October. The startup counts major backers including General Catalyst and Lightspeed, and several early investors are expected to participate in the secondary sale portion of the IPO. Zepto published a public notice about the confidential filing and declined to provide additional comment to some media outlets.

The filing comes as the quick commerce segment faces intensifying competition and investor concern. Larger platforms have been bolstering their grocery and rapid delivery capabilities, including a recent capital injection into quick commerce by a major rival, which raised roughly Rs 100 billion to expand its operations. Industry analysts and investors have warned of rising aggregate losses across the sector and the risk of an investment bubble if unit economics do not improve.

For public market investors, Zepto’s listing will offer a close look at several metrics that determine sustainability in fast delivery. Key indicators will include gross order value growth, take rates, contribution margins per order, and the trajectory of operating losses. The split between primary proceeds and secondary sales will also be watched for signals about founders and early backers’ confidence in long term value creation.

Market participants will monitor when Zepto converts its confidential filing into a draft prospectus, revealing audited financials, underwriter syndicate details and the proposed price band. The July to September 2026 window is the target quarter, but the confidential route means that final sizing and timing could shift. How Zepto’s economics compare with public and private peers will shape investor appetite for a sector that promises fast growth but has yet to demonstrate consistent profitability.