Zepto Taps Goldman, Morgan Stanley for 2025 IPO
Zepto is set for a late 2025 IPO with Goldman Sachs and Morgan Stanley, aiming to capitalize on its rapid growth and India's hot IPO market.
- India’s quick commerce frontrunner, Zepto, is gearing up for a blockbuster IPO slated for late 2025 – hiring heavyweight banks Goldman Sachs and Morgan Stanley to lead the offering.
Why it matters: the IPO could easily become the decade’s hottest listing, given the epic momentum the company has witnessed off of its pandemic-start.
Just 60 days ago, Zepto secured $1 billion in an extended funding round, underscoring its rapid growth. The company is on track to surpass $1.2 billion in gross merchandise volume (GMV) through its platform, marking a significant leap in its market presence.
In the fiercely competitive quick commerce landscape, Zepto faces stiff challenges.
- Swiggy’s Instamart has reached a $1 billion GMV, while Blinkit, owned by Tomato, leads with $1.6 billion.
Zepto is expanding aggressively, aiming to operate 700 dark stores nationwide by the end of the year, though Blinkit plans to surpass this with 1,000 stores by fiscal year-end.
The rush of new and established players—including Bigbasket and Flipkart—into the quick commerce sector highlights the sector's expanding potential.
- Majors are extensively category expanding, complementing groceries and essentials with smartphones, electronics, apparel, and other high ticket items.
Big picture: Zepto’s IPO could further energize India’s already sizzling IPO market, following the trail of successful listings like Zomato, FirstCry, and Ola, which have attracted high excitement from growth investors, and highlighted the growing success of India’s Internet 1.0 tech wave.
