Mumbai — Indian social commerce platform Meesho has received SEBI approval for its Initial Public Offering (IPO). The company submitted its Updated Draft Red Herring Prospectus (UDRHP) to the Securities and Exchange Board of India.
The IPO comprises a fresh issue of $480 million (₹4,221 crore) and an Offer for Sale (OFS) of $300 million (₹2,638 crore), making the total size approximately $800 million (₹7,036 crore). The funds raised will be used for technology upgrades, brand building, and general corporate purposes.
Meesho is targeting a valuation of around ₹70,360 crore ($8 billion). The book-building process is expected to last 30-45 days, after which the IPO will be officially launched, and the final valuation will be confirmed. Typically, companies sell about 10% of shares in an IPO, indicating Meesho’s valuation could settle near $8 billion.
Offer for Sale Details
In the OFS, existing investors such as Peak XV Partners, Elevation Capital, Venture Highway (now part of General Catalyst), Y Combinator, and others will sell part of their holdings. Founders Vidit Aatrey and Sanjeev Barnwal will also offload a portion of their shares.
Financial Performance
FY24: Revenue ₹7,615 crore; Loss ₹305 crore
FY25: Loss surged to ₹3,941 crore, primarily due to relocation expenses from Delaware, USA, to India
Excluding these one-time costs, FY25 losses would have been just ₹108 crore, indicating underlying business performance remains steady.
