Quick-commerce (qcom) unicorn Zepto has shifted from a private entity to a public limited company as it prepares for its initial public offering (IPO). The company has also updated its name from Zepto Private Limited to Zepto Limited, as reflected in documents it filed with the Ministry of Corporate Affairs.
The Bengaluru-based QCOM player, which plans to go public next year, is also expected to submit its draft red herring prospectus soon.
Furthermore, the company approved three resolutions on November 21 during an extraordinary general meeting (EGM). Along with converting into a public company, it also amended its memorandum of association (MoA) and articles of association (AoA). It has continued to raise capital aggressively in recent months. It secured $665 million in June last year, followed by $340 million in August and $350 million in November. Additionally, earlier this year in October, it closed an approximately $450 million round at a valuation of $7 billion.
In a statement, a Zepto spokesperson said, “We are growing 20-25 percent every quarter on order volume, and burn is going down. That’s why we’re able to reduce capital because we’re able to show investors that in relative terms we’re able to deliver reasonable capital efficiency for 100 percent-plus year-on-year growth.”
Overall, Zepto’s transition to a public limited company, coupled with its sustained funding momentum and strong business metrics, underscores its readiness for a high-profile IPO in the coming year.
