Indian e-commerce platform Meesho is aiming to raise 42.5 billion rupees (approximately $484 million) through an initial public offering (IPO) with a fresh issue, as indicated by its updated prospectus on October 20. This move comes after months of Reuters reporting that Meesho had confidentially filed draft papers. The timing aligns with the Indian IPO market's momentum, set to surpass last year's record of $20.5 billion, with expectations of up to $8 billion in offerings during the final quarter of 2025.
According to Meesho's prospectus, the company has outpaced the broader Indian e-commerce market in terms of Gross Merchandise Value (GMV) growth over the past two years. Notably, Meesho faces competition from industry giants like Walmart-backed Flipkart and Amazon in India. The IPO specifics reveal a fresh share issue worth 42.5 billion rupees, as detailed in the prospectus published on October 18. Additionally, existing shareholders, such as Elevation Capital, Peak XV, and Venture Highway, intend to collectively sell 175.7 million shares through this offering.
Although the prospectus did not specify the total IPO size, sources cited by the Economic Times estimate it to fall within the range of 58-66 billion rupees. As of June 30, Meesho held a market share of 23%-25% in the home, kitchen, and furnishing e-commerce sector in terms of GMV. The updated prospectus also highlights a reduction in Meesho's consolidated loss before exceptional items and tax, with figures improving from a 3.15 billion rupee loss in the previous fiscal year to 1.08 billion rupees at the end of March 30, 2025.
Meesho's IPO plans underscore its strategic growth objectives and competitive positioning in the dynamic Indian e-commerce landscape. The company's performance metrics and market share reveal a promising trajectory, sustaining investor interest. By capitalizing on the momentum of the Indian IPO market and leveraging its unique value proposition, Meesho aims to garner substantial funding for future expansion and innovation in the evolving digital commerce ecosystem.
