Zepto completes reverse flip from Singapore to India ahead of IPO

Quick commerce company Zepto has completed a reverse flip from Singapore to India to become an Indian parent's entity ahead of its proposed IPO.

Its co-founder and CEO Aadit Palicha, in a post on LinkedIn, described it as a historic milestone for the Indian startup ecosystem and an inflection point that represents long-term confidence in the liquidity and depth of Indian capital markets.

"Today, we received formal approval from Singaporean courts and the NCLT in India to complete our cross-border merger and become an Indian parent entity!," he wrote.

The ecosystem is now building in India for the benefit of Indian shareholders, he noted.

"We executed this project in true Zepto fashion: challenging the status quo, cutting internal red tape ruthlessly, and having deep control over the details," he said, congratulating the Zepto team as well as partners like Deloitte for making a long-standing dream a reality.

"At Zepto, we have a habit of delivering what people say is impossible," Palicha said.

The move of bringing the domicile of Zepto's parent to India assumes significance as the company looks to raise money through IPO.

Zepto CFO Ramesh Bafna took to LinkedIn to announce the completion of the reverse merger, bringing the domicile of its parent Kiranakart Pte Ltd to India, and said this would serve as a "good #GharWapasi template for the startup ecosystem and overtime enable a great pipeline towards capital markets".

"Historic scenes on completion of #IndiaFirst reverse merger from Singapore to India in the #FastestEver timeline," Bafna wrote in his post.

The exercise underlines understanding of technicals, working with the right partners, getting into 'nuts and bolts' on execution, and unblocking natural causes of delay and tactical calls in real-time by an empowered team.

Bafna lauded the entire team behind the exercise and praised Palicha for prioritising clarity and team empowerment.

"...This is good hashtag#GharWapasi template for the startup ecosystem and overtime enables a great pipeline towards capital markets," the CFO said.

Earlier, the National Company Law Tribunal (NCLT) approved the merger of Singapore-based Kiranakart Pte Ltd with Kiranakart Technologies Ltd, thus bringing the domicile of Zepto's holding company to India.

The Mumbai-based firm posted a revenue of Rs 4,454 crore in FY24, a more than two-fold increase from Rs 2,025 crore in the previous fiscal year.

Zepto has marginally reduced losses to Rs 1,248.6 crore in 2023-24 from Rs 1,272.4 crore in 2022-23, according to data shared by Tofler.