**Zepto in Final Stages of $450M Funding at $7B Valuation**
*By Mudit Dube | Oct 01, 2025, 06:07 PM*
Zepto, a leading player in the quick commerce sector, is close to securing $450 million (approximately ₹3,900 crore) in a new funding round, according to sources cited by Moneycontrol. This capital infusion is a strategic move aimed at expanding Zepto’s offerings and scaling its operations amidst intensifying competition.
**Funding Round and Key Investors**
The funding round is being co-led by the California Public Employees’ Retirement System (CalPERS), a prominent US-based pension fund, along with General Catalyst (GC), an existing investor in Zepto. Besides these two, several current investors—including Avenir, Avra, Lightspeed, Glade Brook, The Stepstone Group, and Nexus Venture Partners—are expected to participate to maintain or possibly increase their stakes in the company.
**Valuation Soars to $7 Billion**
With this fresh round, Zepto’s valuation is set to leap to $7 billion, marking a 40% increase from its $5 billion valuation last year. The company’s growth has been propelled by over a 20% rise in order volumes, reflecting strong market demand and operational expansion.
**Use of Funds: Primary Capital and Secondary Deals**
The majority of the funds raised will be primary capital, directly bolstering Zepto’s financial resources to fuel growth initiatives. Additionally, between $70 million and $100 million of the total funding will come from secondary share deals. These involve early investors selling portions of their holdings to new investors, enabling some liquidity for early backers while keeping them engaged through ongoing investments.
**Market Strategy and Competitive Outlook**
Zepto plans to leverage the new capital to boost its spending and increase its market share in the quick commerce space. This comes at a time when the sector’s rapid growth has somewhat cooled, with competitors such as Blinkit (by Eternal) and Instamart (by Swiggy) shifting their focus toward profitable growth.
By strengthening its financial backing, Zepto aims to regain momentum and secure a stronger position in this highly competitive market, responding proactively to evolving industry dynamics.
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*Stay tuned for more updates on Zepto and developments in the quick commerce industry.*
https://www.newsbytesapp.com/news/business/zepto-seeks-450-million-funding-at-7b-valuation/story