Adds details on India Enforcement Directorate summons to founders in paragraphs 2, 11-12

By Kanjyik Ghosh and Haripriya Suresh

June 8 (Reuters) - Indian quick commerce company Zepto KIRK.NS is looking to raise up to $837 million in its initial public offering, updated draft papers showed on Monday, setting the stage for one of the country's most anticipated listings this year.

The filing revealed that India's financial crime agency sought information from Zepto founders in April, and that the firm's revenue more than doubled in the last fiscal year though losses ballooned due to soaring costs.

The firm confidentially filed for a 110 billion rupee ($1.15 billion) IPO in December, without disclosing financials and other details, intensifying a battle with listed rivals Eternal ETEA.NS and Swiggy SWIG.NS.

Quick commerce firms are betting heavily on India's growing urban consumer base as customers increasingly opt for 10-minute deliveries for everything from groceries to electronics.

Zepto plans to use proceeds from the IPO to expand its network of dark stores — compact warehouses in densely populated neighborhoods, invest in technology and cloud infrastructure as well as to fund acquisitions.

Zepto is selling new shares worth up to 80.1 billion rupees. Existing investors including Nexus Ventures and Contrary ZEP Holdings will sell up to 113.5 million shares in the offering, the updated filing on Monday showed.

It was not immediately clear what valuation Zepto, which also competes with Amazon AMZN.O, Walmart's WMT.O Flipkart and Tata Group-backed BigBasket, is targeting through the offering. The firm was valued at $7 billion in its last funding round in October, when it raised $450 million.

Zepto is targeting a July listing, the Economic Times reported, citing sources. The company did not immediately respond to Reuters' request for comment on the report.

Zepto's revenue more than doubled to 226.24 billion rupees in the year ended March 31, while losses widened to 59.05 billion rupees from 47 billion rupees as expenses soared.

ENFORCEMENT DIRECTORATE SUMMONS

India's Enforcement Directorate summoned Zepto founders Aadit Palicha and Kaivalya Vohra in April, the IPO filing mentioned under 'risk factors'.

The duo were asked to provide information, including details of the company's foreign investments, shareholding pattern and income tax returns.

They complied with the requests and no further communication had been received from the agency as of the filing date, Zepto said.

Axis Capital, Morgan Stanley, Goldman Sachs, Motilal Oswal, HSBC, JM Financial and IIFL Capital are managing the IPO.

($1 = 95.7075 Indian rupees)