Zepto has received approval from the Securities and Exchange Board of India (Sebi) for its initial public offering, clearing the main regulatory hurdle before it can list on Indian stock exchanges. The quick commerce startup plans to file an updated draft prospectus within the next two months.

Sources put the likely issue size at Rs 8,000–9,000 crore, though the headline figure being discussed internally runs higher, at Rs 11,000–12,000 crore. The offering is expected to be largely primary in nature, meaning most of the money raised would flow into the company rather than to existing shareholders selling their stakes.

What This Means for Zepto

A primary-heavy issue is a signal that Zepto intends to use IPO funds to grow the business — expanding warehouses, adding delivery infrastructure, or shoring up its balance sheet — rather than providing an early exit to investors. That structure tends to be viewed more favourably by public market investors, since the capital stays inside the company.

Zepto competes directly with Swiggy's Instamart and Zomato-backed Blinkit in India's fast-growing quick commerce space, where groceries and essentials are delivered in under 30 minutes. The sector has attracted heavy venture capital but also faces pressure to demonstrate a path to profitability as it scales.

Market Context

The Sebi nod comes at a time when Indian IPO markets have been active, with several new-age tech companies testing investor appetite. A successful Zepto listing at the upper end of the rumoured range would make it one of the larger tech IPOs in recent Indian market history.

The two-month window for the updated prospectus means the actual IPO could come in the second half of 2025, subject to market conditions and final pricing decisions. Investors will watch the final issue size, the fresh-versus-offer-for-sale split, and any disclosed financials closely, as those details will shape how the company is valued at listing.