Zepto Limited: Transition to Public Company

Zepto, a quick commerce entity, has officially changed its status to a public company, now known as Zepto Limited. This shift was sanctioned by a special resolution from its shareholders, according to a report from PTI. However, no related filings were available on the Registrar of Companies’ website as of late Friday evening.

This transformation is a key step for the company as it gears up for an initial public offering (IPO). Recently, Zepto completed a fundraising round amounting to $450 million, which is part of its ongoing efforts to expand its capital structure ahead of the anticipated IPO next year. While specific timelines remain undisclosed, the firm is expected to submit its draft red herring prospectus via the confidential route ahead of mid-December.

Growth and Financial Performance of Zepto

During the recent fundraising, Zepto’s co-founder and CEO Aadit Palicha highlighted the impressive growth the company has experienced, increasing from approximately five lakh daily orders five quarters ago to an impressive 1.7 million. This momentum is anticipated to continue in the future.

Since its establishment, Zepto has raised a cumulative total of $2.3 billion, including $1.8 billion since January of the previous year. In FY24, Zepto recorded revenue of Rs 4,454 crore, more than double the Rs 2,026 crore from FY23. The company also observed a slight dip in losses, which narrowed from around Rs 1,272 crore in FY23 to Rs 1,249 crore in FY24. Additionally, filings reveal that Zepto registered a turnover of Rs 11,110 crore (approximately $1.3 billion) in FY25, although the comprehensive financial results for the previous fiscal year are yet to be disclosed.