Zepto has chalked out aggressive growth plans in multi-cities, to fuel its growth ambitions the company has raised an additional $31.25 million from Goodwater Capital and Nexus Venture Partners as part of its Series E funding round.
This fund infusion follows after the Mumbai-based firm raised $200 million led by StepStone Group, Goodwater Capital, Nexus Venture Partners, and Glade Brook Capital among others, 3 months agao at a valuation of $1.4 billion, making it the first startup to attain unicorn status in 2023.
According to reports Zepto will use the fresh round of investment to expand its footprints in the top seven cities, including Mumbai, Delhi-NCR, Bengaluru, Hyderabad, Chennai, Pune, and parts of Kolkata.
Zepto reported a whopping surge in revenue to Rs 2,024 crore in FY23 from Rs 142.4 crore in the previous year, but the losses widened to Rs 1,272 crore in the financial year, against Rs 390.4 crore in FY22.
Zepto aims to go public in 2025
The Y Combinator-backed grocery delivery firm aims to float an initial public offering (IPO) by early 2025, making its push for sustainable growth more important than ever.
Zepto Co-founder and CEO Aadit Palicha did not divulge details about how much money the firm is looking to raise through the public listing, but had said in August that the latest fundraise is a pre-IPO round part of a “capital-building exercise”.
“The thought process behind raising the capital ($200 million) is to make investments in stores in the next 1-3 months. In the next 9-12 months, the investment will generate money and fuel our journey to profitability,” Palicha added.
Avendus Capital was the sole advisor to the deal. Angel investors Oliver and Lish Jung, and Mangum II also participated in the fundraise, as per a report by DealStreetAsia citing filings with Singapore’s Accounting and Corporate Regulatory Authority (ACRA).
