Zepto gets $340 million boost to expand its quick commerce empire
Mumbai-based startup Zepto has secured a significant funding round of $340 million, led by General Catalyst, with new investors Dragon Fund and Epiq Capital joining the fray. Existing investors, including StepStone, Lightspeed, DST, and Contrary, also increased their stakes in the company.
This fresh funding has catapulted Zepto’s valuation to $5 billion, a staggering 40% increase from its valuation of $3.6 billion in June, when it raised $665 million in its Series F round. The company has now raised over $1 billion in funding in 2024 alone, with a total of $1.2 billion in the past 12 months and more than $1.5 billion since its inception.
Zepto plans to utilize the funds to expand its dark stores to 700 by March 2025 and enter new markets such as Nasik, Chandigarh, Vizag, and Ahmedabad, while increasing its presence in existing metro cities. The company is expected to double its operations and become an increasingly formidable player in the quick commerce sector.
Key highlights:
- Rapid expansion plans: Zepto aims to open 700 dark stores by March 2025 and enter new markets in India.
- Increased presence: The company will increase its presence in existing metro cities to cater to a wider customer base.
- New investors: General Catalyst, Dragon Fund, and Epiq Capital join Zepto’s investor list, alongside existing investors StepStone, Lightspeed, DST, and Contrary.
- Valuation surge: Zepto’s valuation has surged by 40% to $5 billion, following the $1.2 billion Series F round in June.
- Gigantic funding: Zepto has raised over $1 billion in 2024, with a total of $1.2 billion in the past 12 months and more than $1.5 billion since its inception.
The quick commerce sector is becoming increasingly competitive with Flipkart’s recent entry and BigBasket’s full shift to rapid delivery, and e-commerce leader Amazon is expected to join the market early next year.
