Meesho Confidentially Files for $1B IPO, Aims to Raise Rs 8,500 Crore
Meesho, a prominent Indian e-commerce company specialising in clothing and accessories, has confidentially filed a draft red herring prospectus (DRHP) with SEBI for a public listing. The company aims to raise Rs 8,500 crore ($1 billion) through an initial public offering (IPO).
Meesho reported a significant revenue of Rs 7,615 crore for the fiscal year ended March 2024, with adjusted losses reduced by 97% to Rs 53 crore. The company has engaged Citi, Kotak Mahindra Capital, Morgan Stanley, and Axis Capital as bankers for its IPO. Meesho aims to raise Rs 4,250 crore through a primary issue of equity shares, with shareholder approval already secured. Notably, Meesho has shifted its headquarters to India through a reverse flip transaction costing $288 million and changed its corporate name from Fashnear Technologies Private Limited to Meesho Private Limited. This IPO makes Meesho the seventh Indian startup to choose the confidential DRHP route in 2025. Elevation Capital holds the largest external stake in Meesho, with a 14.49% share.
Meesho's upcoming IPO, expected to be around Rs 8,500 crore, will include a fresh issuance and an offer for sale (OFS) component. While the participants of the OFS are yet to be officially announced, they are likely to include existing investors and stakeholders looking to sell a portion of their shares. This IPO is a significant step for Meesho, reflecting its growth and potential in the Indian e-commerce market.
