SUMMARY
- Zepto is in discussions to raise $100-150 million from domestic family offices and HNIs at a pre-investment valuation of $4.6 billion.
- The Motilal Oswal Group is managing the fundraising effort, with a commitment of about $40 million already secured.
- Zepto has achieved an annualized gross sales run rate of $2 billion, positioning it strongly against competitors like Swiggy Instamart and Blinkit.
Zepto, the quick commerce firm based in Mumbai, is reportedly in discussions to secure an additional $100-150 million from a consortium of domestic family offices and high-net-worth individuals (HNIs). The funding round is expected to occur at a pre-investment valuation of $4.6 billion, as per sources familiar with the matter.
In August, Zepto successfully raised $340 million, achieving a post-money valuation of $5 billion. The Motilal Oswal Group’s private wealth management arm is overseeing this fundraising effort, with the Motilal Oswal Asset Management Company already committing approximately $40 million to the round. Notably, Raamdeo Agrawal, chairman of Motilal Oswal Financial Services, has expressed personal support for Zepto, having previously backed companies like Swiggy in its pre-IPO placement, which has garnered significant interest from HNIs and family offices.
If successful, this additional funding will bring Zepto‘s total capital raised to over $1.5 billion within a four-month timeframe, highlighting the strong interest in the company and the booming quick commerce sector. Sources indicate that Zepto is aiming to solidify domestic capital ahead of its anticipated IPO next year, with reputable homegrown investors joining its cap table.
In recent performance metrics, Zepto has reportedly achieved an annualized gross sales run rate of $2 billion, up from $1.5 billion in May. The company faces competition from Swiggy Instamart and Zomato-owned Blinkit, while Flipkart has recently entered the quick commerce market with its Minutes service, and BigBasket has transitioned fully to this model.
