E-commerce giant Meesho is now one step closer to hitting the public markets. The company has filed its updated draft red herring prospectus (UDRHP) with the Securities and Exchange Board of India (SEBI) and received regulatory approval to launch its highly anticipated IPO in 2025. This positions Meesho among the latest new-age Indian startups seeking public capital to fuel growth and scale operations.
Market Performance
Meesho’s IPO has sparked significant interest among investors and market watchers, reflecting the growing appetite for tech-driven e-commerce platforms. The company is expected to raise a substantial amount through both fresh issuance and the offer for sale (OFS) from existing shareholders.
- Total IPO size: $700–800 million (₹6,500–7,000 crore)
- Fresh issue: $480 million (₹4,250 crore)
- OFS component: $250–300 million (₹2,200–2,600 crore)
The proceeds from the IPO are planned to be deployed across multiple growth avenues, including:
- Expanding technology infrastructure
- Strengthening brand visibility and marketing efforts
- Meeting general corporate requirements
The IPO’s successful launch will mark a major milestone for Meesho, which continues to grow rapidly despite yet-to-turn profits.
Main News
The IPO approval comes at a time when new-age tech companies are increasingly eyeing public listings to unlock capital for expansion. Meesho’s co-founders, Vidit Aatrey (CEO) and Sanjeev Barnwal (CTO), will also participate in the OFS, joining early investors such as Peak XV Partners, Elevation Capital, Venture Highway (now part of General Catalyst), and Y Combinator, who are selling shares as part of the offering.
The book-building process is expected to take 30–45 days, after which the IPO will be officially launched and the company’s valuation will be finalized. Market trends indicate that Meesho might command a valuation around $7–8 billion, slightly below the initial target of $10 billion, potentially offering an attractive entry point for retail investors.
Company Details
Meesho, established by Vidit Aatrey and Sanjeev Barnwal, has emerged as a top social commerce platform in India, emphasizing fast-paced growth over immediate profits while steadily expanding its platform and user base.
Financial Snapshot
- Revenue FY24: ₹7,615 crore
- Net Loss FY24: ₹305 crore
- Net Loss FY25: ₹3,941 crore (including relocation expenses from Delaware, US to India)
- Net Loss Q1FY26: ₹289 crore
- Loss before exceptional items FY25: ₹108 crore
The widening losses in FY25 are attributed to strategic investments, operational restructuring, and expansion initiatives. Despite this, the company remains committed to its growth-centric approach, positioning itself as a long-term player in the e-commerce ecosystem.
Summary
The Meesho IPO 2025 represents one of the largest fundraising exercises among new-age Indian startups. With SEBI approval secured and early investors preparing to exit via the OFS, the company is poised to attract strong market attention.
The IPO is expected to support Meesho’s long-term objectives, from scaling operations to enhancing technology and brand presence, while maintaining a focus on growth over immediate profitability.
Key Highlights:
- IPO size: $700–800 million (₹6,500–7,000 crore)
- Fresh Issue: $480 million (₹4,250 crore)
- OFS: $250–300 million (₹2,200–2,600 crore)
- Book-building: 30–45 days
- FY25 net loss: ₹3,941 crore
- Promoters & early investors participating in OFS
Meesho’s journey underscores the evolving Indian startup ecosystem, where new-age companies are leveraging public markets to accelerate growth, attract wider investor participation, and strengthen their position in a competitive landscape.
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