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HomeMarket NewsZepto CEO says will file DRHP this year amidst reports of IPO delay
Zepto is looking to raise around $800 million in its IPO, an increase from an earlier plan of $400-500 million.
Bengaluru-based quick commerce startup Zepto will file its Draft Red Herring Prospectus (DRHP) with capital markets regulator SEBI this year, Zepto’s CEO and co-founder Aadit Palicha told CNBC-TV18.
However, Moneycontrol had earlier reported that Zepto has postponed its IPO plans by a year and now aims to tap the public markets in calendar year 2026. The report added that Zepto is unlikely to launch its IPO this year, even if it files the DRHP in the coming months.
Previously, Palicha had told media outlets that the company was confident of going public in 2025.
"That's our ambition... of course, capital markets may change, but for now, we're optimistic that if the business continues to perform well, we will go public in calendar 2025," Palicha was quoted as saying in an interview with news agency PTI at the end of 2024.
Zepto is looking to raise around $800 million in its IPO, an increase from an earlier plan of $400-500 million.
The Maharashtra Food and Drug Administration (FDA) has recently suspended the food business licence of Kiranakart Technologies Pvt Ltd., the parent company of Zepto, in Mumbai. The action follows a regulatory inspection that uncovered multiple food safety violations at one of Zepto’s storage facilities in Dharavi.
The inspection was conducted by Food Safety Officer Shri Ram Bodke under the direction of Minister of State for FDA, Shri Yogesh Kadam, and Joint Commissioner (Food), Shri Mangesh Mane.
According to the FDA’s press note, key violations included:
-Fungal growth on certain food articles
-Food stored near stagnant and clogged water
-Cold storage temperatures not maintained as per norms
-Unsanitary conditions, such as wet and filthy floors, and food products kept directly on the ground
-Expired food items not clearly separated from valid stock
The FDA cited these as breaches of the Food Safety and Standards Act, 2006, and the Food Safety and Standards (Licensing and Registration of Food Businesses) Regulations, 2011. An immediate suspension order was issued under Section 32(3) of the Act and Regulation 2.1.8(4), signed by Smt. Anupamaa Balasaheb Patil, Assistant Commissioner (Food).
