Nine months after launching, Zepto has announced its $200 million Series D fundraise, valuing the company at around $900 million. Y Combinator Continuity doubled down and led Zepto’s Series D, with new investor - Kaiser Permanente - joining in to back the company as well.
All key existing investors, including Nexus Venture Partners, Glade Brook Capital, and Lachy Groom, have also increased their investments. Co-Founder & CEO, Aadit Palicha says, “We posted 800 per cent Q-o-Q revenue growth, while burn has come down 5X on a per-order basis. Our team achieved this while continuing to delight our customers. This unbelievable execution over the past few months has made it clear to investors that Zepto will be one of the winners in Indian Q-Commerce.”
With capital now in the bank, Zepto said it plans to continue growing sustainably across India. The company has also built executive talents and grown the team to over 1,000 staff in a few months across all functions, including engineering, analytics, operations, marketing, finance, and HR.
Co-Founder & CTO, Kaivalya says, “Our rigorous focus on unit economics is the main reason why we’ve had such an amazing trajectory as a company. We’ve turned micro-markets profitable and brought down burn significantly while growing to a scale of hundreds of thousands of orders per day”
Zepto Cafe
Zepto is also piloting a service to deliver Coffee, Chai, and other Café items in 10 minutes across select areas in Mumbai. The new category - termed ‘Zepto Café’ - is being received quite well by early customers and if the pilot continues to go well, Zepto plans to scale this service across India soon.