Quick commerce unicorn Zepto is preparing to take a major step toward the public markets. The Bengaluru-based startup is set to confidentially pre-file its draft red herring prospectus (DRHP) on December 26, according to people familiar with the matter. The company is expected to inform stakeholders about the filing on the same day, with its pre-filing preparations now complete.

Founded in 2020, Zepto is positioning itself to become one of the youngest startups to list on Indian stock exchanges, with a public debut likely in 2026—roughly six years after its inception. This would place it among a select group of young unicorns that have gone public relatively early in their lifecycle.

The move is significant not just for Zepto, but for the broader quick commerce ecosystem. Once listed, Zepto will join Blinkit (operated by Eternal) and Swiggy’s Instamart in the public markets, marking a milestone for an industry that barely existed five to six years ago. Together, these three players dominate India’s ultra-fast delivery space.

Zepto had earlier appointed investment bankers and is expected to raise around $500 million through the IPO, though the final valuation is yet to be decided. In its most recent private funding round earlier this year, the company was valued at approximately $7 billion.

The quick commerce sector has rapidly evolved from a convenience-led service to a must-have offering in urban India. This growth has intensified competition, with Blinkit, Swiggy Instamart, and Zepto locked in a high-stakes battle for market share. Other players such as BigBasket, Flipkart Minutes, and Amazon Now are also increasing competitive pressure.

Blinkit, Instamart and Zepto are dominating the quick commerce space, while Tata and Reliance backed players are struggling : r/StartUpIndia

Over the past nine to eleven months, the top three quick commerce players have collectively burned close to ₹9,000 crore as they scaled operations, expanded dark store networks, and invested in logistics and customer acquisition. Despite this, all three companies remain well-capitalised.

Following recent public listings and fundraising activities, Eternal and Swiggy have completed qualified institutional placements (QIPs) exceeding $1 billion each. As a result, Blinkit, Swiggy, and Zepto together hold more than ₹40,000 crore in cash and cash equivalents—providing a substantial war chest to accelerate growth and outpace rivals.

Zepto’s IPO, whenever it materialises, is expected to be a defining moment for India’s quick commerce sector, reflecting both the industry’s maturity and growing confidence among public market investors.

Stay updated on upcoming IPOs, IPO news, and live bidding updates.

Download the IPO Ideas App for real-time IPO insights and alerts.

Zepto to Confidentially File IPO Papers on December 26

Loading...

Zepto to Confidentially File IPO Papers on December 26