Quick-commerce major Zepto is looking to raise $300 million in funding from high-net-worth individuals and wealth management firms at a pre-investment valuation of $5 billion, according to sources close to the development.

This is double the earlier planned amount, sources added. Motilal Oswal’s private wealth arm is overseeing the fundraising mandate. Last month, Motilal Oswal Asset Management Company committed $40 million for this round, businessline reported. The private wealth arm has raised its investment to $60 million, the sources added.

“The round was oversubscribed, which is why they have raised the total offering,” sources added.

This comes at a time when the company is also looking to capitalise on the bullish Indian stock market while also balancing its captable.

The latest funding follows the quick-commerce major raising around $1 billion over the past few months amid a deepening battle in the sector.

Zepto had raised $665 million at a valuation of $3.6 billion in June and then scooped up another $340 million at a $5 billion valuation a few weeks later in August. In total, of the $1.6 billion that four-year-old Zepto has raised so far, over $1 billion has come within the last five months.

Zepto, which currently has a network of 370 dark stores, plans to expand the count to about 700 by March 2025, strengthening its presence in the top 20 cities. It had said in June that it has crossed the milestone of $1 billion in terms of annualised GMV.

Besides dark stores, Zepto also outlined plans to utilise the capital to scale up Zepto Café - its quick-delivery snack and meal service.

According to a report released by Redseer, the quick-commerce market size is projected to reach about $6 billion GMV (gross merchandise value) by FY25, with expected growth rates of 75-85 per cent. This will be driven by 5 million new monthly transacting users (MTU), it added.

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