Zepto scores $100 million insider vote of confidence as Motilal Oswal, Raamdeo Agrawal buy big

Motilal Oswal and Raamdeo Agrawal, co-founders of Motilal Oswal Financial Services Ltd (MOFSL), have each purchased shares worth $50 million (approximately ₹425 crore) in quick commerce player Zepto, in their personal capacity, sources aware of the development told Fortune India. The combined $100 million secondary transaction signals growing domestic investor interest in the startup, which is preparing for a public listing.

Motilal Oswal and Raamdeo Agrawal have bought shares from a pool created by international investors in Zepto; they've put out proportionately minuscule equity to contribute to a pool that would get domestic shareholding above 50% in the long run, sources said. These transactions, which do not bring fresh capital into the company, peg Zepto’s valuation at $5 billion—unchanged from its previous funding round—"to make it lucrative for domestic investors".

The secondary share purchases by Oswal and Agrawal are part of a larger transition underway. Motilal Oswal, the firm, is also preparing to lead a separate secondary round in Zepto to the tune of $250 million, in which Edelweiss and Hero Fincorp are also expected to participate, sources said.

This deal is part of a wider churn in Zepto’s cap table, with shares moving from foreign investors to domestic hands. Zepto has been consciously trying to shift shareholding from foreign to Indian hands as part of its broader strategy to become a majority Indian-owned company – even as Zepto rebranded its parent company from Kiranakart Technologies Private Limited to Zepto Private Limited nearly a month ago as an effort to enhance brand recognition among consumers.

This move comes at a time when Indian ownership is seen as critical for unlocking new business opportunities and aligning with regulatory requirements, especially in the lead-up to an IPO.

In January this year, Zepto moved its domicile from Singapore to India and formally set up its headquarters in Bengaluru to comply with listing norms. The Aadit Palicha-led company is reportedly planning to launch its IPO either later this year or in early 2026, and has roped in Goldman Sachs and Morgan Stanley as lead bankers for the offering.

Zepto, which promises 10-minute grocery deliveries, became a unicorn in 2023 and has since seen rapid expansion across multiple cities. With foreign capital beginning to exit and Indian investors stepping in, the company is gradually reshaping its investor base as it eyes the public markets.

Zepto declined to comment on the transaction.