Zepto IPO coming soon? Sebi gives green signal to quick commerce startup’s public issue plans: Sources

Zepto IPO: Quick commerce startup Zepto has reportedly received approval from the Securities and Exchange Board of India (Sebi) for its upcoming initial public offering (IPO), according to Zee Business sources.

With regulatory clearance now in place, the Bengaluru-based startup is expected to file an updated draft red herring prospectus(DRHP) within the next six to eight weeks as it moves closer to its public market debut.

IPO size may be revised lower

According to sources, Zepto’s IPO is likely to be sized at around Rs 8,000-9,000 crore, lower than the company’s earlier plans. The startup had confidentially filed its DRHP with Sebi in December for a proposed IPO worth around Rs 11,000-12,000 crore, largely comprising a primary issue.

However, people familiar with the matter said the final issue size and pricing are still under discussion and could undergo further revisions depending on market conditions.

Cash reserves remain strong ahead of listing

The company last raised USD 450 million in October 2025 at a valuation of USD 7 billion, making it one of India’s most valuable quick commerce startups.

Competition intensifies in quick commerce space

Zepto competes directly with listed rivals Swiggy and Eternal, which operate quick commerce platforms Instamart and Blinkit, respectively.

The quick commerce industry has seen rapid expansion over the last few years, though recent quarters have shown signs of growth moderation as companies shift focus toward profitability and reducing cash burn.

Swiggy recently reported a sequential decline in gross order value (GOV) in its quick commerce business, even as it narrowed consolidated losses through better operational efficiency.

Unlike rivals aggressively increasing infrastructure, Zepto has been attempting to scale order volumes without materially expanding its dark store footprint.

Profitability and scale key focus areas

Industry observers said Zepto’s IPO plans come at a time when investors are increasingly focusing on profitability, operational discipline and sustainable growth within India’s internet and quick commerce sector.

The company’s ability to scale order volumes while keeping infrastructure expansion under control is likely to remain a key metric for investors evaluating the business ahead of the IPO.

Market participants will also closely watch how Zepto positions itself against listed peers in a sector where competition remains intense and customer acquisition costs continue to be high.