The five-month old grocery delivery startup, Zepto, has managed to raise funds to the tune of $100 million in a Series C round. It now plans to expand its currrently 400-strong team to 800 in the financial year, 2022-23.
Investors who participated in the round included Glade Brook, Nexus, Contrary Capital, Breyer Capital, Lachy Groom, Global Founders Capital, and others. The round was led by Y Combinator’s Continuity Fund at a valuation of $570 million.
This is quite an achievement, considering the firm was valued at $60 million just over a month ago, when it had managed to raise the amount in another round of funding.
Zepto has been growing rapidly — 200 per cent month on month — and has managed to penetrate the major metro cities.
Its unique ten-minute delivery assurance is ensured by delivery personnel or riders who are expected to serve only in the vicinity of the dark store they are placed with. Therefore, its customer retention rate has been very high, encouraging the firm to launch 100 micro warehouses, with an individual capacity to fulfil over 2,000 order daily.
Launched by two childhood friends, Kaivalya Vohra and Aadit Palicha in Mumbai, the startup has expanded to Bangalore, Delhi and four other metros in India within a span of five months.
The Company will use the fresh capital to expand into more cities.