Indian startup Zepto plans an initial public offering (IPO) that could be valued at around $1 billion, positioning one of Y Combinator’s largest Indian bets for public markets. While advertising revenue soared by over 150% in fiscal 2026, Zepto remains loss-making with a net loss of nearly $600 million.

Despite intense competition from established players like Blinkit and Instamart, Zepto has seen its customer base grow significantly. However, the startup’s valuation is still uncertain, as some early backers are not participating in the IPO offer-for-sale.

The founders received summonses from India's anti-money laundering agency but have provided all requested information. The proposed listing marks a significant step for Zepto after it relocated its legal home to India last year.

This move highlights the growing attractiveness of domestic public markets for tech startups, but leaves investors wondering if the valuation will hold amid increasing competition and operational pressures.