Quick commerce startup Zepto has closed a massive $340 million Series G round, pushing its valuation past the $5 billion mark. The round was led by StepStone Group with participation from existing investors including Glade Brook Capital, Nexus Venture Partners, and DST Global.

Founded in 2021 by Stanford dropouts Aadit Palicha and Kaivalya Vohra, Zepto has rapidly scaled its 10-minute grocery delivery model across major Indian metros. The company now operates over 500 dark stores across Mumbai, Delhi-NCR, Bengaluru, Chennai, Hyderabad, and Pune.

“We’re seeing strong unit economics across our mature markets,” said CEO Aadit Palicha. “This funding will help us deepen our presence in existing cities and expand into 10 new markets by Q1 2026.”

The quick commerce space in India has heated up significantly, with Blinkit (owned by Zomato), Swiggy Instamart, and BigBasket’s BB Now all competing for the same customer. Industry analysts estimate the market could reach $6 billion by 2027.

Zepto has also been investing heavily in its private-label business, which now accounts for roughly 18% of its revenue. The company plans to IPO by early 2027, according to sources close to the matter.