BAJAJ FINSERV DIRECT LIMITED
Market Insights

Zepto Plans DRHP Filing in 2025 Amid IPO Developments and Regulatory Setbacks

authour img
Geetanjali Lachke

Table of Contents

Zepto, the quick commerce startup, is making strides towards its IPO, with plans to file its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) later this year.

Zepto’s IPO Plans

Zepto is aiming to raise approximately $800 million (about ₹6662 crores as of 6th June) through its upcoming Initial Public Offering (IPO). This figure marks an increase from the earlier target range of $400-500 million (₹3331 Crores - ₹4164 Crores as of 6th June).

  • DRHP Filing Planned: Zepto intends to submit its DRHP to SEBI in 2025.

  • IPO Target: The company plans to raise $800 Million (about ₹6662 crore as of 6th June), a notable rise in its target funding.

Reports have suggested that Zepto may hold off its public debut to calendar year 2026, particularly in light of recent regulatory happenings. While the DRHP filing remains in progress, the timeline for the IPO itself could still shift.

Regulatory Concerns Impacting Zepto

The regulatory body, Maharashtra Food and Drug Administration (FDA), suspended the food business license of Kiranakart Technologies Pvt Ltd. (Zepto's parent company) following an inspection of a storage facility in Dharavi, Mumbai.

Key Violations Cited by Maharashtra FDA

The inspection uncovered food safety violations at Zepto’s facility, which led to the suspension of its food business license:

  • Fungal Growth on Food Items: Presence of mold on food products.

  • Unsanitary Storage Conditions: Food was stored near stagnant water and on filthy, wet floors.

  • Improper Temperature Maintenance: Cold storage not adhering to necessary temperature norms.

  • Expired Stock Handling Issues: Expired food was not properly separated from fresh items.

Key Takeaways

The table given below summarises the key events and details surrounding Zepto’s IPO plans.

Event

Details

DRHP Filing

Planned for later in 2025

IPO Target

Zepto aims to raise $800 Million in its IPO

Regulatory Action

Maharashtra FDA suspended the food business license due to violations

Impact on IPO

Regulatory issues may cause delays or impact public debut

While Zepto continues to push forward with its IPO plans, the regulatory challenges it faces will be crucial in determining the timeline of its public debut.

It is crucial for investors to stay informed about the company's regulatory compliance and the status of its IPO filing.

Disclaimer

This content is for informational purposes only and the same should not be construed as investment advice. Bajaj Finserv Direct Limited shall not be liable or responsible for any investment decision that you may take based on this content.

Sources

  • CNBC-TV18 — Zepto to file DRHP this year, planning $800 million IPO, https://www.cnbctv18.com/

  • Moneycontrol — Zepto plans IPO, but regulatory issues may cause delays, https://www.moneycontrol.com

Author Image
Hi! I’m Geetanjali Lachke
Blogger

Geetanjali is an emerging content writer with a passion for writing and marketing. She focuses on crafting clear, engaging blog posts and articles that simplify complex topics, particularly in finance and business. Geetanjali is dedicated to delivering insightful content that helps readers understand and navigate critical concepts, empowering them to make informed decisions and stay ahead in the ever-evolving landscape of finance and business.

Academy by Bajaj Markets

alt 10876

All Things Tax

Navigate the tax maze with ease! Uncover Income Tax 101, demystify jargon with Terms for Beginners, and choose between Old or New Regimes.

Seasons 6
Episodes 25
Durations 1.3 hrs
alt 7360

All Things Credit

Unlock the world of credit! From picking the perfect card to savvy loan management, navigate wisely.

Seasons 12
Episodes 56
Durations 3.0 hrs
alt 1570

Money Management and Financial Planning

Money Management and Financial Planning covers personal finance basics, setting goals, budgeting...

Seasons 5
Episodes 19
Durations 1.1 hrs
alt 2063

The Universe of Investments

Explore the investment cosmos! From beginner's guides to sharp-witted strategies, explore India's treasure trove of options.

Seasons 5
Episodes 23
Durations 1.5 hrs
alt 132

Insurance Handbook

Discover essential insights on various types of insurance in India.

Seasons 2
Episodes 6
Durations 0.5 hrs
alt 1121

Tech in Finance

Welcome to Tech in Finance, where we explore the exciting intersection of technology and finance...

Seasons 1
Episodes 5
Durations 0.3 hrs
Home
Home
ONDC_BD_StealDeals
Steal Deals
Credit Score
Credit Score
Accounts
Accounts
Explore
Explore

Our Products