Zepto IPO May Be Delayed As Investors Push For Lower Valuation

Zepto's stock market listing may get delayed further if valuation issues remain unresolved with investors. The quick commerce startup is now apparently looking to raise around ₹1,000 crore (US$105-120 million) in a pre-initial public offering (IPO) round of funding, at about US$4.5 billion valuation, instead of going ahead with an IPO now.

Why Has Zepto Delayed Its IPO?

According to reports, Zepto's original plan was to launch its IPO in July 2026. But in the current scenario, the listing could be delayed by two to three quarters. CEO Aadit Palicha has reportedly informed employees about the delay as the company continues to negotiate with investors.

The Economic Times reported that Zepto is pressing for better terms before taking a final decision. If the valuation gap is not resolved over the next two weeks, the company could formally defer its IPO. It also said the validity of Zepto's draft IPO papers runs until 21 August, giving it some time to decide on the next course of action.

The main issue remains Zepto’s valuation. While the startup was valued at US$7 billion during its last funding round, several domestic institutional investors are reportedly comfortable with a valuation of around US$3.5-4 billion, creating a significant gap between the two sides.

What Happens Next For Zepto?

For now, Zepto appears to be putting its public listing on hold and raising money from private investors instead. The company is looking to raise around ₹1,000 crore, which could give it more time to settle the valuation issue and return to the market when conditions are more favourable.

Whether the Zepto IPO goes ahead now or is pushed back will depend on how the ongoing valuation talks progress. According to reports, the company is still negotiating with investors and is seeking better terms before taking a final call.

The discussions also show that investors are no longer willing to back startup valuations at any price. Even though the IPO market has remained busy this year, fund managers are reportedly negotiating harder on pricing, especially for loss-making, high-growth companies such as Zepto.

Also Read - DLF Q1 FY27 Results