Zepto has received regulatory approval and changed its name from Kiranakart Technologies Private Limited to Zepto Private Limited, Moneycontrol has learnt. A move like this, especially ahead of a potential public market debut in the coming months, will help create a better brand recall among stakeholders across the board.
The move is similar to what its rivals have done in the past. Swiggy, the food and grocery delivery major, had changed its name from Bundl Technologies Private Limited to Swiggy Private Limited before its initial public offering (IPO) in February 2024.
A name that reflects the brand helps in establishing greater proximity and identification with the core offering of companies.
Zepto has received an approval from the Registrar of Companies (RoC) in Mumbai for the name change.
The company did not immediately reply to Moneycontrol’s queries.
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The development comes at a time when Zepto is making moves for an eventual public market debut. Moneycontrol earlier reported that Zepto appointed Akhil Gupta, vice chairman of Bharti Enterprises, the parent company of Bharti Airtel, to its board.
Currently, Zepto co-founders Aadit Palicha and Kaivalya Vohra, alongside Avra founder Anu Hariharan, and Nexus Venture Partners co-founder and Managing Director Suvir Sujan, are among the other board members of Zepto.
IPO-bound Zepto recently flipped its base back to India from Singapore, and has been on a fundraising spree. The company has raised as much as $1.35 billion in a span of five months. The Bengaluru-based company raised $665 million in June 2024 from Glade Brook Capital, The StepStone Group, Nexus Venture Partners and others and then went on to close a $340 million round in August 2024 from General Catalyst and others.
It then secured $350 million from Motilal Oswal, Ranjan Pai’s Claypond Capital and other Indian investors.
The company is also in talks with several top mutual fund houses to raise another $300 million in a secondary round, as it looks to get more domestic shareholders on its cap table to avoid regulatory scrutiny during IPO. The company’s gross merchandise value (GMV) is now close to $4 billion, a 300 percent year-on-year increase.
The move to have enough cash balance and maintain a strong balance sheet is understandable since Zepto competes with larger rivals such as Zomato’s Blinkit, Flipkart Minutes, Swiggy Instamart, Tata BigBasket and others in a red-hot market which has seen multiple players pour in millions of dollars to gain market share.
The quick commerce industry, which is just about four years old, is already seeing consumption worth over $6 billion and is projected to grow to a $25-30 billion opportunity over the coming years, analysts have underscored.
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