Zepto Set to Launch Premium Grocery Service ‘Select’ Ahead of IPO
Zepto is set to launch premium grocery service ‘Select’ as the quick commerce company expands offerings ahead of its IPO.
SociapaHQ
Fast-growing quick commerce platform Zepto is geared to foray into the premium grocery segment with the launch of a new in-app service, 'Select', as it aims to expand its offerings ahead of its planned stock market debut.
The premium service is expected to be launched in the coming weeks after a successful pilot in select locations.
Select will feature a curated offering of imported and premium grocery products directly competing Zepto with offerings like Blinkit Gourmet and FirstClub. And the company has reportedly started onboarding premium consumer brands in anticipation of the wider launch.
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IPO Preparation:
Customer response during the pilot phase was encouraging the company to expand the service, sources told the publication. Zepto is also expected to differentiate itself by offering a number of imported and premium products at more competitive prices than rival platforms.
This comes as Zepto gears up for one of the largest new-age technology IPOs in India.
The company has filed draft papers with the markets regulator for an initial public offering (IPO) comprising a fresh issue of ₹8,010 crore and an offer for sale by existing shareholders, taking the total issue size to an estimated ₹11,000-12,000 crore.
According to the draft red herring prospectus (DRHP), the company will use the proceeds from the fresh issue for expansion of Zepto’s dark store network, investment in technology and cloud infrastructure, strengthening marketing initiatives and pursuit of inorganic growth opportunities.
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IPO Momentum:
The IPO is being managed by Axis Capital, Morgan Stanley, Goldman Sachs, Motilal Oswal, HSBC, JM Financial and IIFL Capital and the company plans to list on BSE and NSE.
Zepto has reported strong business growth ahead of the proposed listing. Revenue from operations more than doubled to ₹22,624 crore in FY26, up from ₹11,110 crore in FY25, while net loss widened to ₹5,905 crore from ₹4,700 crore over the same period.
The Bengaluru-based company processed 210 million orders during the January-March quarter through its network of 1,139 dark stores, averaging 2.33 million orders a day. Orders per store per day increased to 2,140 from 1,425 a year earlier, reflecting a 50% improvement in store productivity.
