Zepto, another rapidly growing quick commerce platform, is gearing up to make its entry on the Indian stock market with an upcoming IPO. This recent development comes after a series of approvals and decisions, paying way for the company to transition back to India from Singapore.
Here are the key details surrounding this development: Strategic Merger to Simplify Structure
Zepto’s parent company, Kiranakart Technologies, recently received approval from the National Company Law Tribunal (NCLT) for a merger with its Singapore-based entity. On the one hand, this move simplifies the company in the process of attracting investors both from India and abroad as well as it streamlines Zepto’s corporate structure, making it more efficient for future funding and operations.
The Domicile Shift
Another key development to note is Zepto shifting its domicile from Singapore to India, a transition that is expected to be finalised within the next 30 days. This will help the quick commerce company to come more closer to Indian markets.
As the company prepares for its IPO, this move also positions the company to attract domestic investors.
Also Read: Markets end in green but tech under pressure, Nifty IT Index slumps 2%; rupee slips to yet another new low
Regulatory approval
One of the major and key highlights in this development is the approval of the merger without the need for a no-objection certificate from the RBI. This eliminates one major regulatory step for Zepto, speeding up the process and allowing the company to focus on other aspects of its IPO preparation.
Zepto’s IPO timeline and draft filing plans
As per reports, the quick commerce company Zepto is planning to file its draft IPO papers by March or April but the company has not yet disclosed anything officially. A key board meeting on January 19 will help finalise important details, such as the appointment of investment bankers and independent directors, and determine the size of the IPO.
Zepto’s fundraising plan
The company is aiming to raise between USD 400 million and USD 500 million through its IPO, as per various reports.
Furthermore, the funds will help Zepto compete with major players like Swiggy and Zomato, who have already paved the way for food delivery platforms to go public.
Operational changes
In addition to its IPO plans,
» Read More
