Quick commerce firm Zepto has raised a massive $665 million in a new round of funding, more than doubling its valuation to $3.6 billion in less than a year.
Zepto sells and delivers small ticket items like grocery and electronic gadgets to consumers in urban Indian cities.
According to Zepto, Glade Brook, Nexus and StepStone Group led the "highly-oversubscribed" Series F round, with Avenir, Lightspeed and Avra, as well as existing backers Goodwater, Lachy Groom and Contrary also investing in the round.
DST Global, an early backer of Swiggy, a Zepto rival, also led the new funding round, according to TechCrunch, which spoke to two people familiar with the matter.
Zepto competes with Zomato-owned BlinkIt and Swiggy Instamart in the quick commerce space.
These companies have set up numerous warehouses known as "dark stores," throughout urban India.
The stores stand in close proximity to high sale areas, which makes it easy for these stores to deliver goods at unprecedented speed.
Zepto, which at present has 350 such stores, aims to double them by March next year.
The startup said its revenue has risen 140 per cent since last year.
The company has currently onboard 50,000 delivery partners and is adding over 5,000 more each month.
It said about 75 per cent of its dark stores were EBITDA positive as of last month.
Image Courtesy: Unsplash
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