Meesho Limited, a Bangalore-based homegrown e-commerce platform, has filed its Updated Draft Red Herring Prospectus (UDRHP I) with the Securities and Exchange Board of India (SEBI) for an Initial Public Offering (IPO) comprising a fresh issue of shares worth ₹4,250 crore and an offer for sale (OFS) of up to 17.56 crore equity shares by existing investors and promoters.
Key selling shareholders include Elevation Capital, Peak XV Partners, Venture Highway, Y Combinator, Golden Summit, VH Capital, and founders Vidit Aatrey and Sanjeev Kumar.
The company intends to use the IPO proceeds to fund technology and AI investments, cloud infrastructure, marketing initiatives, and potential strategic acquisitions.
In FY25, Meesho became India’s largest e-commerce platform by annual transacting users and placed orders, connecting over 5 lakh sellers with ~199 million users and enabling ~1.8 billion orders. Annual transacting users grew 28% YoY, while order frequency rose from 7.5x in FY23 to 9.4x by June 2025.
The platform’s Net Merchandise Value (NMV) rose 29% to ₹29,988 crore in FY25, with Q1 FY26 NMV up 36% YoY to ₹8,679 crore. Meesho also reported a strong turnaround in cash flow, moving from a negative ₹2,336 crore to a positive ₹1,032 crore in FY25.
Losses before tax narrowed sharply to ₹108 crore in FY25 from ₹1,672 crore two years earlier, despite continued investments in technology and growth.
Kotak Mahindra Capital, J.P. Morgan, Morgan Stanley, Axis Capital, and Citigroup are the book-running lead managers to the issue.
