Zepto plans to secure $300 million, approximately Rs 2,500 crore, from domestic high-net-worth individuals and family offices to support its resources in the growing competitive landscape of quick commerce.
The company aims to secure approximately Rs 2,500 crore while maintaining the same $5 billion valuation at which it raised over $1 billion in 2024.
According to media reports, this new target has doubled the original fundraising goal. It is reported that Motilal Oswal’s private wealth division is overseeing the fundraising efforts.
Last month, Motilal Oswal Asset Management Company initially pledged USD 40 million for this funding round but has now raised its investment to USD 60 million. According to media reports, the round was oversubscribed, leading Zepto to increase the total amount being offered.
The new funding arrives as Zepto seeks to take advantage of India’s thriving stock market while adjusting its capital structure, according to media sources. The company has secured nearly USD 1 billion in recent months, amid intense competition in the quick-commerce industry, as reported by the media.
In June, Zepto raised $665 million, achieving a valuation of $3.6 billion. This was followed by an additional $340 million in August, which increased its valuation to $5 billion, according to media reports. Out of the $1.6 billion the four-year-old company has raised to date, more than $1 billion was reportedly secured in just the last five months.
According to media reports, the company intends to utilize the funds to increase its network of dark stores from 370 to 700 by March 2025, concentrating on the top 20 cities. Earlier, the company revealed that it had exceeded USD 1 billion in annualized gross merchandise value (GMV) as of June.
Date: Friday, 22nd Nov 2024
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