Zepto’s valuation jumps to $3.6 billion after fresh $665 million fundraise

New Delhi, June 21, 2024.

Quick-commerce firm Zepto has secured $665 million in its latest funding round, propelling its valuation to $3.6 billion.

The funding round saw significant participation from new investors such as Avenir, Lightspeed, and Avra, along with existing backers Glade Brook, Nexus, and StepStone, and additional contributions from Goodwater and Lachy Groom.

Founded just in 2021, Zepto had previously achieved unicorn status with a valuation of $1.4 billion after raising $235 million in August 2023.

The company has reported robust business metrics, including a substantial year-on-year increase in Gross Merchandise Value (GMV) surpassing $1 billion. Approximately 75% of Zepto’s stores are now fully EBITDA positive, a significant improvement from their earlier profitability timeline of 23 months to just six months.

Commenting on the company’s trajectory, co-founder & CEO, Aadit Palicha, said, “This dynamic of stores turning profitable faster and faster has enabled Zepto to grow rapidly while simultaneously achieving near EBITDA positivity at a company level. We plan to continue operating with fiscal discipline as we scale from 350 stores to 700 stores by reinvesting the capital generated from mature stores back into the business.”