Zepto IPO 2026: SEBI nod clears path for ₹11,000 crore issue

What SEBI’s clearance means for Zepto

Quick commerce startup Zepto has received key, in-principle approvals from the Securities and Exchange Board of India (SEBI), according to people aware of the developments cited by multiple media reports. The clearance is a major regulatory step that effectively opens the door for Zepto to proceed towards a public listing on Indian stock exchanges. The approval is not described as the final clearance in the reports, but it clears what several updates call the biggest early hurdle in the process. Zepto did not immediately respond to queries in one of the reports.

The development lands at a time when India’s IPO pipeline is seeing renewed activity, with SEBI also clearing a clutch of other public issues. Alongside Zepto, reports listed Dhoot Transmission, Horizon Industrial Parks, Surgiwear, Crystal Crop Protection, and Hotel Polo Tower as having received SEBI clearance, adding to the primary market queue.

Fundraise size: multiple reported ranges

The proposed IPO size has been reported in a few ranges across updates. One set of sources said Zepto may look to raise between $100 million and $1 billion, described as around ₹7,500 crore to ₹9,300 crore. Other reports put the expected raise higher at about $1.2 billion to $1.3 billion, or roughly ₹10,000 crore to ₹12,000 crore. Separate updates also referenced an in-principle SEBI approval for a ₹11,000 crore (about $1.3 billion) IPO.

While the numbers vary by report, the common thread is that Zepto is preparing for a large new-age consumer internet listing. The fundraising is expected to include a mix of new shares and an offer-for-sale (OFS) by early investors, according to earlier reports cited in the provided text. One report specifically mentioned a sizeable fresh issue of around ₹11,000 crore alongside an OFS component.

Timeline: 60-90 days vs July-September 2026 window

On timing, one source-based update said Zepto would work on an updated draft red herring prospectus (UDRHP) and aim to list in 60-90 days. Other reports framed the likely listing window as the July-September quarter of 2026. Another update suggested that if timelines hold, the company could list by the end of June.

These timelines reflect an IPO process that can move quickly once filings are updated and final regulatory steps are completed, but the reporting also makes clear that an in-principle nod is not the final green light. The company is expected to return to the regulator with updated documents before a final approval comes through.

Confidential filing route: what has been reported

Multiple updates said Zepto used the confidential filing route to submit draft IPO papers privately and receive SEBI feedback without making financials public at the outset. The same mechanism was noted as having been used by Swiggy, Groww, and Meesho before their respective listings, as cited in the provided text.

According to one report, Zepto filed its draft prospectus privately in December 2025. Another update said the company had taken board approval to raise ₹11,000 crore through the IPO and made a confidential filing in December 2025. This route is described as allowing companies to refine the issue size, structure, and timing while managing disclosures during early stages.

Testing-the-waters and the next filing steps

A key near-term milestone mentioned in the reports is the “testing-the-waters” (TTW) process. One update said Zepto still needs to submit a certificate confirming it has completed TTW, and that the process is expected to wrap up in the next 2-3 weeks.

The same reporting said Zepto is expected to refile its prospectus with updated FY26 numbers in the first week of May. Final SEBI approval is expected after the updated prospectus is filed and reviewed, as per the reports referenced in the input text.

Corporate changes ahead of the IPO

The Aadit Palicha-led company has also made structural changes ahead of its public market plans. One report said Zepto recently converted itself into a public company, moving from Zepto Private Limited to Zepto Limited. Such conversions are a routine but necessary step for companies preparing for an Indian IPO.

Founding and age have also been highlighted across reports. Zepto was founded in 2020, and the planned listing has been described as potentially making it among the youngest venture-backed startups in India to reach the public markets.

Positioning: “pure-play quick commerce” claim

The reporting repeatedly positioned Zepto as a “pure play” quick commerce company in the Indian market context. One update said Zepto would become the only pure-play quick commerce company to list on the exchanges if the IPO is completed. Another noted the listing could be the first pure-play quick commerce IPO in India.

This positioning matters because investors often view business models differently depending on whether quick commerce is a standalone focus or part of a larger food delivery or e-commerce platform. The reports also noted that investor appetite for consumer internet and platform businesses has returned after successful listings by companies such as Swiggy.

Key bankers and other reported deal details

One report listed the bankers associated with the issue as Morgan Stanley, Goldman Sachs, Axis Capital, HSBC, JM Financial, IIFL, and Motilal Oswal. Another set of details in the input said Zepto’s last private valuation was $1 billion, tied to an October 2025 $150 million round, and that it has raised $1.3 billion+ in funding to date.

Separately, one report mentioned Zepto targeting a public market valuation of $1-8 billion. Since this valuation target is presented as a report and not a confirmed company statement, it remains an indicative market estimate within the coverage.

Snapshot table: what is known from the reports

Why the approval matters for India’s IPO pipeline

SEBI’s clearance for Zepto is being watched because the company sits at the intersection of consumer internet and logistics-led commerce, segments that have been central to new-age listings in India. The confidential filing route referenced in the reports also reflects a pattern among venture-backed companies seeking flexibility on timing and disclosures during early stages.

The wider context is also relevant. With other IPOs cited as receiving SEBI clearance in the same period, the pipeline appears to be building depth. For investors tracking primary markets, Zepto’s next steps will be the updated filings, completion of TTW, and clarity on the final issue size and timeline.

Conclusion: what to watch next

Zepto’s in-principle SEBI nod, as reported, sets up the next phase of its IPO process through updated filings and completion of the testing-the-waters exercise. The company is expected to refile its prospectus with updated FY26 numbers in the first week of May, according to the reports provided. The targeted listing window has been reported as July-September 2026, with some reports also pointing to a faster timetable depending on regulatory review and market readiness.