Rapid-commerce giant Zepto is gearing up for a significant initial public offering (IPO), aiming to raise up to $1 billion. The company intends to publicly file for the IPO in the first half of June 2026, with roadshows potentially commencing next month ahead of a targeted July launch.
IPO Plans and Market Context
Sources familiar with the matter indicate that Zepto's IPO is expected to include both a fresh issue of shares and secondary sales by existing investors. The proceeds from the offering are anticipated to fuel the company's expansion strategies. This could mark India's second billion-dollar IPO this year, potentially revitalizing a market affected by subdued dealmaking.
Zepto, last valued at $7 billion during a $450 million funding round in October, operates in a competitive landscape alongside major players like Amazon India, Swiggy, Zomato-backed Blinkit, and Tata-owned BigBasket. The firm is collaborating with prominent financial institutions, including Axis Capital, Motilal Oswal, Morgan Stanley, HSBC, and Goldman Sachs, to manage the offering.
Unlisted Shares See Significant Drop
Despite the impending IPO, Zepto's unlisted shares have experienced a notable downturn. The stock has crashed nearly 25% over the last three months, falling from levels of Rs 52-55 in February-March 2026 to trade around Rs 42-43 recently.
Dinesh Gupta, Co-Founder of UnlistedZone, a Delhi-NCR based boutique firm, attributes this correction to increased volatility in the secondary market. Gupta suggests the current prices are largely fair, anticipating the IPO will be priced around these levels. He projects Zepto could raise Rs 10,000-11,000 crore from the IPO, valuing the company between Rs 40,000-44,000 crore (approximately $4.8-$5.3 billion).
Expert Insights and Investor Caution
Gupta also highlighted Zepto's unique position compared to peers like Zomato and Swiggy, which have seen divergent market movements. He stressed the importance for Zepto to shift its focus towards profitability rather than solely relying on a 'cash-burn' model for customer acquisition.
Zepto confidentially filed its draft papers in late December 2025 and received observations from the capital markets regulator SEBI on May 10, 2026. Under local regulations, prospectuses must be publicly available for at least 21 days before an IPO launch.
Piyush Jhunjhunwala, Founder & CEO at Stockify, noted the growing interest in Zepto shares due to its rapid growth and competition with established players. However, he cautioned potential investors about the inherent risks in buying unlisted shares, citing varying liquidity and valuation comfort. Jhunjhunwala advised that only risk-taking investors with a strong financial understanding should consider participation, emphasizing the need to evaluate Zepto's business fundamentals and long-term profitability prospects over chasing hype.