Quick commerce (qcom) unicorn Zepto has officially transitioned from a private company to a public limited company, a strategic step in preparation for its initial public offering (IPO).
The company has changed its name from Zepto Private Limited to Zepto Limited, as per documents filed with the Ministry of Corporate Affairs (MCA). This move aligns Zepto with standard regulatory requirements for publicly listed entities in India.
On November 21, Zepto held an Extraordinary General Meeting (EGM) where it passed three crucial resolutions:
The first resolution confirmed Zepto’s conversion into a public company, making it eligible for listing on stock exchanges and enabling wider public investment.
The company also updated its Memorandum of Association (MoA) and Articles of Association (AoA), aligning its corporate governance framework with public company regulations.
Following these resolutions, Zepto is expected to file its draft red herring prospectus (DRHP) soon, setting the stage for its market debut, likely in the next fiscal year.
Zepto has been aggressively raising capital over the past year to fuel growth:
June 2024: $665 million
August 2024: $340 million
November 2024: $350 million
In October 2025, Zepto closed approximately a $450 million funding round at a $7 billion valuation.
In a statement, a Zepto spokesperson said:
“We are growing 20-25 per cent every quarter on order volume, and burn is going down. That’s why we’re able to reduce capital because we’re able to show investors that in relative terms we’re able to deliver reasonable capital efficiency for 100 per cent-plus year-on-year growth.”
This demonstrates the company’s ability to scale operations efficiently while maintaining strong growth metrics, a positive signal ahead of the IPO.
The IPO will not only provide capital for expansion but also enhance Zepto’s market credibility. As India’s quick commerce sector continues to expand, publicly listed Zepto will have:
Greater access to institutional and retail investors
Stronger financial transparency and corporate governance
The ability to fund nationwide expansion and technological improvements
Zepto is a leading Indian quick-commerce company that primarily focuses on delivering groceries and daily essentials in under 10 minutes. Founded in 2021 by Stanford dropouts Aadit Palicha and Kaivalya Vohra, the company has rapidly become a major player in the highly competitive Indian e-commerce market.
Zepto's business model is centered around three core components:
Zepto's ability to fulfill its 10-minute promise rests on its innovative logistics model, which eschews the traditional large-warehouse or marketplace approach.
Hyper-local Delivery: The proximity of the dark stores to the customer radically shortens the last-mile delivery distance to an average of around 1.5 kilometers, making the 10-minute fulfillment promise logistically viable.
Zepto’s transition from a private to a public limited company marks a pivotal milestone in the startup’s journey. With robust funding rounds, strong quarterly growth of 20-25%, and a $7 billion valuation, the company is poised to make a successful IPO debut. By opening up to public investors, Zepto is set to accelerate its expansion, strengthen its position in India’s quick commerce sector, and demonstrate a sustainable path for long-term growth and profitability.