Zepto filed updated DRHP for IPO aiming at Rs 8,010 crore fresh equity issue
New Delhi, June 9
Quick commerce platform Zepto filed an updated draft red herring prospectus for its proposed initial public offering, planning to raise Rs 8,010 crore entirely through a fresh issue of equity shares alongside a separate secondary market component. The company is poised to become the first dedicated quick commerce entity to debut on the domestic stock exchanges in the coming months, marking an infrastructural evolution in the consumer delivery landscape.
According to the updated DRPH from Zepto filed with the Securities and Exchange Board of India (SEBI), the IPO comprises a fresh issue size of "up to equity shares of face value ₹ 5 each aggregating up to ₹ 80,100.00 million" and a separate offer-for-sale segment. The secondary market component involves "up to 113,466,566 equity shares of face value ₹ 5 each..." to be offloaded by its existing investment backers.
The regulatory document clarifies that the share offloading will be executed by multiple institutional entities holding stakes in the startup. As stated in the prospectus, the offer incorporates sales by Nexus Ventures VI Holdings, LLC which proposes to offload "up to 57,357,141 equity shares" and Nexus Ventures VII Holdings, LLC looking to divest "up to 30,398,907 equity shares".
The document further details additional participating institutional sellers in the offer-for-sale framework including Contrary ZEP Holdings LLC offloading "up to 7,801,378 equity shares", Razor Ventures Zepto LLC offloading "up to 9,364,174 equity shares", Kaiser Foundation Hospitals selling "up to 4,385,912 equity shares", and Kaiser Permanente Group Trust offloading "up to 4,159,054 equity shares".
Motilal Oswal Investment Advisors, Morgan Stanley India Company, Goldman Sachs (India) Securities, JM Financial, IIFL Capital Services, HSBC Securities and Capital Markets (India), and Axis Capital are the book running lead managers for the IPO.
The updated DRHP outlines the company's financial trajectories over the past three fiscal periods, showcasing a sharp scaling up of operational revenues. The delivery network recorded operational revenue of Rs 2,26,235.84 million for the financial year ended March 31, 2026, marking an increase from Rs 1,11,099.47 million in the fiscal year 2025 and Rs 44,545.16 million in the fiscal year 2024.
This rapid expansion of the revenue baseline occurred alongside a corresponding broadening of operational expenses and overall net losses. Zepto reported a restated loss for the year of Rs 59,051.92 million for the period ended March 31, 2026, expanding from a restated loss of Rs 46,997.14 million during the financial year 2025 and a loss of Rs 12,147.94 million filed during the financial year 2024.
The primary structural costs driving the cash outflow were centered around procurement and distribution management. Total expenses for the fiscal year ended March 31, 2026, mounted to Rs 2,90,267.46 million, compared to Rs 1,62,410.69 million in the preceding fiscal year, led primarily by the purchase of traded goods which reached Rs 1,84,849.75 million in the latest fiscal cycle.
— ANI
Reader Comments
Zepto is a lifesaver for students in hostels and professionals living alone! But honestly, this IPO timing feels a bit early. Their losses are still mounting and the quick commerce space is getting crowded with Blinkit and Instamart. Let's see if they can sustain the growth. 🤔
Good news for Indian startup ecosystem! Zepto becoming the first pure quick commerce company to list is a milestone. The Rs 8,010 crore fresh issue will help them expand to tier-2 cities. But I wish they also focus on reducing losses rather than just growing top-line. Sustainable growth > blind expansion. 📈
Impressive revenue growth from Rs 4,454 crore to Rs 22,623 crore in just two years! That's a 5x jump. But those losses are concerning - they're still burning cash like crazy. The big question: can they achieve unit economics before running out of investor patience? Will watch this IPO closely. 🧐
Zepto's 10-minute delivery is great but what about the pressure on delivery partners? Seen many bike accidents. Also, the packaging waste is enormous - cardboard, plastic, everything. As an investor, I want to see them address sustainability and rider welfare, not just revenues and losses. 🌍
Interesting that major VCs like Nexus and Contrary are selling shares through OFS. Usually a red flag when early investors exit before listing. Hope this doesn't mean they're losing confidence. But the fresh capital for growth is encouraging - let's see how the Indian stock market values quick commerce. 💸
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