Zepto, which only began life in June 2020, has already raised $350 million. Its last funding round valued the company at just north of $900 million—within touching distance of unicorn status. But in today’s economic climate, valuations are as prone to crashes as they are to climbs. 

Zepto, though, appears set to avoid the dubious distinction of a markdown and join the unicorn club instead. The Y Combinator-backed startup is in talks to raise around $150 million for its unicorn round from StepStone group and existing investors Nexus Ventures and Gladebrook Capital. Its latest fundraise, say reports, will see it valued at ~$1.3 billion.

The funding is a much-needed shot in the arm for Zepto, as it finds itself locked in a battle with deep-pocketed rivals such as Swiggy’s Instamart and Zomato-owned Blinkit. The three players have emerged as leaders in the country’s quick-commerce space, collectively cornering around 80% of the market.