Zepto raises $450 mn at $7 bn valuation from US pension fund, existing backers
Flash trading platform Zepto has raised $450 million at a $7 billion valuation, led by US-based pension fund California Public Employees Retirement System (CalPERS), it said in a statement on Thursday.
Existing investors Avenir Growth, Avra, Lightspeed, Glade Brook, The Stepstone Group and Nexus Venture Partners also participated in the round.
“This financing is a reflection of our team’s drive to rapidly grow the business while continually building operating leverage. We currently have approximately $900 million of net cash in the bank and are more than well capitalized for the future,” Zepto co-founder and CEO Aadit Palicha said in a statement.
The Mumbai-based company raised $350 million in a funding round led by Motilal Oswal’s private wealth division in November 2024; This was the third capital raise in six months. The round included investments from Indian high-net-worth individuals (HNIs), family offices and financial institutions, marking the largest ever 100% domestic fundraiser in the country’s startup ecosystem.
In August 2024, it raised $340 million in follow-on financing led by US-based venture capital firm General Catalyst, bringing its valuation to $5 billion. While new investors Dragon Fund and Epiq Capital participated in the round, existing investors StepStone, Lightspeed, DST and Contrary increased their shares.
In June 2024, Zepto raised $665 million in a pre-IPO IPO round at a $3.6 billion valuation.
India’s express commerce industry has crossed $10 billion in gross merchandise value (GMV) with 30 million users transacting monthly and a 15% share of total e-commerce GMV. It grew nearly 150% year over year in the first five months of 2025, driven by the rapid expansion of dark warehouses, according to estimates from Redseer Strategy Consultants.
GMV, an important metric in e-commerce, measures the total value of all goods sold on a platform, excluding discounts and other expenses.
Founded by Palicha and Kaivalya Vohra in April 2021, the startup is now gearing up for an IPO in 2026 and is targeting a multi-billion dollar listing.
