Zepto Secures $350M from Domestic Investors in Latest Funding Round

Zepto has secured $350M (approximately INR 2,950 Cr) in a funding round led by Motilal Oswal’s private wealth division. The round also included investments from notable domestic high-net-worth individuals (HNIs), family offices, and financial institutions such as:

• Taparia Family Office
• Mankind Pharma Family Office
• RP Sanjiv Goenka Group
• Cello Family Office

Other prominent participants included Haldiram Snacks Family Office, Sekhsaria Family Office, and celebrity investors like Abhishek Bachchan and Sachin Tendulkar.

This round, raised entirely from domestic investors, reflects the growing trust in India’s startup ecosystem. "When we started this venture, the risk appetite among domestic investors was limited... Today, we are humbled to have reached a place where we’ve not only fostered that trust but also spearheaded a fundraise of this magnitude," said Aadit Palicha, co-founder and CEO of Zepto.

Expansion Plans and Market Impact

While Zepto has not explicitly disclosed its plans for the newly raised capital, it is likely to be directed toward scaling its dark store network, enhancing its 10-minute snacks delivery service, and expanding its fintech offerings.

The quick commerce industry in India is experiencing fierce competition. With players like Swiggy and Zomato’s Blinkit aggressively expanding their footprints, the fight for market dominance intensifies. Swiggy, fresh off its IPO, has allocated significant funds to its quick commerce vertical, while Blinkit is scaling up rapidly to meet demand.

Founded in July 2021 by Aadit Palicha and Kaivalya Vohra, Zepto has disrupted the grocery delivery market with its 10-minute delivery promise. The startup operates across 17 cities, managing over 550 dark stores and processing 700,000 daily orders.

Key milestones include:

• $1B GMV in FY24
• 75% EBITDA-positive dark stores by May 2024
• 56,000+ delivery partners employed

With a Series A IPO on the horizon, Zepto is poised to cement its leadership in India’s quick commerce landscape.

The Indian quick commerce market has grown exponentially, with sales surging 280% over the last two years. This rapid expansion underscores the immense potential in the segment as startups race to cater to the evolving demands of consumers.

Zepto’s recent funding round further solidifies its position in this burgeoning market and marks another significant step in its journey toward becoming a key player in India’s digital economy.

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