Quick commerce firm Zepto is considering reducing the size of its initial public offering (IPO) by around 20%, raising around $650-700 million in fresh capital against the originally planned $850 million (Rs 8,010 crore) , three people in the know told ET.
The move comes amid strong pushback from capital market investors over the company's valuation, which is expected to be sharply lower, at $3.5-4 billion pre-money. Zepto had closed a $450-million round in October 2025 led by US pension fund Calpers, which then valued it at $7 billion.
The company is expected to announce its price band over the next seven to eight days, another person said. Sebi (Securities and Exchange Board of India) rules require companies to refile their draft prospectus if the issue size changes by more than 20% from the original estimate.
