E-commerce unicorn Meesho has received board approval to raise up to ₹4,250 crore through a fresh issue of shares in its upcoming initial public offering (IPO), according to regulatory filings. The offering will also include an offer-for-sale (OFS) component, allowing existing shareholders to divest part of their holdings.
“The proposed offering will include a fresh issue of equity shares aggregating up to INR 4,250 crore and an offer for sale of equity shares by certain existing shareholders of the company,” the company said in a filing.
The board has also approved a leadership change, redesignating cofounder Vidit Aatrey as Chairman, Managing Director and Chief Executive Officer. The development comes on the heels of Meesho’s return to India from its previous domicile in Delaware, a move that was cleared by the National Company Law Tribunal earlier this week.
Founded in 2015 by IIT-Delhi alumni Vidit Aatrey and Sanjeev Barnwal, Meesho is now the country’s third-largest e-commerce player by gross merchandise value (GMV). The platform, which built its base through social commerce and unbranded retail, counts Prosus, Meta, Peak XV Partners, DST Global, Tiger Global and Elevation Capital among its key backers.
The Bengaluru-based company has also restructured ahead of its listing. It transitioned from ‘Meesho Private Limited’ to ‘Meesho Limited’ earlier this month, and is expected to file its draft red herring prospectus (DRHP) via the confidential route with SEBI shortly.
To prepare its cap table for the IPO, the board had earlier approved the issuance of 411.4 crore bonus shares to existing shareholders.
Financially, Meesho has made significant progress on profitability. It slashed its losses by 82 per cent to ₹304.9 crore in FY25 from ₹1,675 crore in FY23, while revenue from operations rose 33 per cent to ₹7,614.9 crore during the same period, up from ₹5,734.5 crore.
The company’s IPO plans come amid a broader wave of tech listings in India. Other venture-backed startups such as Urban Company, Wakefit, Shiprocket, Pine Labs, DevX and Capillary Technologies have either filed or are in advanced stages of preparing their DRHPs.