Zepto changes parent company's name ahead of IPO

In a strategic maneuver ahead of its anticipated initial public offering (IPO), foodtech unicorn Zepto has rebranded its parent company from Kiranakart Technologies Private Limited to Zepto Private Limited. This move is widely interpreted as an effort to enhance brand recognition among consumers and stakeholders as the quick commerce firm prepares to list its shares on the domestic bourses.

The Bengaluru-based startup is expected to launch its IPO later this year or in early 2026. It has reportedly hired Goldman Sachs and Morgan Stanley as the lead bankers for its public offering.

Notably, its Bengaluru-based rival, Swiggy, had also changed its registered name from Bundl Technologies to Swiggy Private Ltd nearly 10 months before filing its draft red herring prospectus (DRHP) with the market regulator SEBI. Post listing, it converted from private to a public company.

In January this year, Aadit Palicha-led Zepto also moved its domicile from Singapore to India to establish its headquarters in the country to align with IPO norms.

Earlier this month, the quick commerce unicorn appointed Akhil Gupta, vice chairman of Bharti Enterprises, the parent company of Bharti Airtel, as an independent director to its board. Gupta had played a key role in the successful public listings of Bharti Airtel in 2002, followed by Bharti Infratel in 2012, and Airtel Africa in 2019.

The development came at a time when Zepto is reportedly in talks for a $250 million secondary round as part of its strategy increase Indian investor ownership ahead of its public listing. As of now, Zepto has raised $1.95 billion in 10 funding rounds, with the first being on November 1, 2020. Its latest funding round was a Series G round on November 21, 2024, for $350M, where 13 investors participated, led by Motilal Oswal Private Wealth. The share sale is expected to take place at a valuation of over $5 billion.

As of now, Indian shareholders own 33% stake in Zepto and the quick commerce giant aims to increase the stake of domestic investors to nearly 50% ahead of the IPO. Founders Aadit Palicha and Kaivalya Vohra own around a fifth of the firm. Nexus Venture Partners is the biggest investor in the company with a share of 18.6%, while family offices of Mankind Pharma, Haldiram Snacks, Cello, and individuals like Indian cricketer Sachin Tendulkar and actor Abhishek Bachchan are among other notable investors.