Startup Zepto has attained the status of Unicorn, after it raised a Series E funding of $200 million at a valuation of $1.4 billion from new and existing investors on Friday. This catapaulted theme as the first startup in the nation to achieve unicorn status in 2023.
Zepto, led by Aadit Palicha and Kaivalya Vohra plans to invest the fresh capital to expand its footprints in the top seven cities, including Mumbai, Delhi-NCR, Bengaluru, Hyderabad, Chennai, Pune, and parts of Kolkata.
The top cities offer “much larger opportunities” than ever imagined, which makes it necessary to focus on going deeper into existing markets and create density to turn the flywheel on profitability and growth, Aadit Palicha, Co-founder and Chief Executive Officer of Zepto, told reporters in a media briefing on Friday.
Zepto Aims EBITDA-Level Profitability in the next 12-15 months
“We’re not going to expand aggressively across geographies, but will take a measured and disciplined approach instead,” Palicha added. The grocery delivery firm Zepto now aims to hit EBITDA-level profitability in the next 12-15 months by keeping a laser-sharp focus on achieving both growth and profitability at the same time, the Palicha added.
The funding round is led by StepStone Group—a New York-based private markets investment firm that has made its first direct investment in India with Zepto.
California-based venture capital firm Goodwater Capital also joined as a new investor, while existing investors, including Nexus Venture Partners, Glade Brook Capital, and Lachy Groom, also participated in the round. Avendus Capital was the sole advisor to the deal.
