Zepto is an Instant Grocery Delivery quick commerce startup planning to raise $650 million in its next fundraising round at a valuation of $3.5 million. This round is more likely to have participation from its new and existing investors. This will be the second biggest fundraising round by this startup, highlighting the demand of the quick-commerce sector.
A source close to this deal told Moneycontrol that the existing investors of the company include Nexus Venture Partners, SteStone Group, and Glade Brook Capital. The round may have the participation of new investors including Lightspeed Venture Partners, Avenir Growth, Avra, and DST Global. After this round, the valuation of Zepto is predicted to be doubled and reach the $3.5 billion mark. The investment shows the trust of investors in the startup’s market potential and the growth of the quick commerce market. The company previously raised $231 million at a valuation of $1.4 billion from StepStone Group and other investors.
Zepto competes with other known companies including Zomato’s subsidiary Blinkit, Tata’s BigBasket, and Swiggy’s Instamarket. Blinkit is the largest company in the quick-commerce market across the country. The funding round Zepto is planning will most likely have Nexus Ventures and StepStone as the biggest investors. This round will mark Nexu’s largest investment so far due to the rising valuation of Zepto. This Mumbai-based startup is also planning to turn EBITDA breakeven by September this year.
The startup is planning to use this fresh capital to expand its network to support future growth, meet public demands, improve its platform, and advance its technology. The competition is getting difficult in the e-commerce sector and Zepto is trying to solidify its position in the quick commerce market. The quick commerce sector is facing crisis globally however, the sector is growing rapidly in India and is predicted by Goldman Sach analysts to grow further.
Conclusion :
Grocery Delivery Startup, Zepto is planning to raise $650 million in a funding round. This is the second biggest fundraising round by the startup. The round will have the participation of its new investors including Lightspeed Venture Partners, Avenir Growth, Avra, and DST Global. The valuation of Zepto is predicted to be doubled and reach the $3.5 billion mark after this round. The startup previously raised $231 million from StepStone Group and others. The firm plans to raise the fund at a valuation of $3.5 billion.
The company plans to enhance its technology and aim for a market expansion. This will be the second biggest fundraising round by this startup, highlighting the demand of the quick-commerce sector. The existing investors of the company include Nexus Venture Partners, SteStone Group, and Glade Brook Capital.
This Mumbai-based startup competes with other quick commerce companies including Zomato’s subsidiary Blinkit, Facebook’s quick commerce subsidiary, Swiggy’s Instamarket, and Tata’s BigBasket. The funding round Zepto is planning will most likely have Nexus Ventures and StepStone as the biggest investors.
