Meesho IPO: E-Commerce Firm Files Confidential DRHP With SEBI to Raise Rs 4,250 Crore

Meesho's Billion-Dollar IPO Push: A Closer Look

The budget-friendly e-commerce platform, Meesho, is making headlines with its ambitious plans for a massive Initial Public Offering (IPO). The company has confidentially filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI), aiming to raise a substantial Rs 4,250 crore (approximately $500 million).

This move follows shareholder approval of a plan to raise Rs 4,500 crore through a fresh equity share issue, a resolution passed during an Extraordinary General Meeting on June 25, 2025. The shareholders also approved the appointment of co-founder Vidit Aatrey as Chairman, Managing Director, and CEO – a key board restructuring ahead of the IPO.

• Strategic Moves: Meesho's journey to the IPO includes a significant name change from Fashnear Technologies Private Limited to Meesho Private Limited, effective May 13, 2025, and the merging of its Delaware-based entity, Meesho Inc., with its Indian arm.
• Funding Goals: The company's overall funding target is approximately Rs 8,500 crore ($1 billion), combining primary capital and an offer for sale (OFS).
• Market Competition: Despite entering the competitive Indian e-commerce market relatively late (2015), Meesho has carved a significant niche by focusing on Tier 3 and smaller markets, attracting value-conscious consumers. This strategic approach has allowed it to compete effectively against giants like Flipkart and Amazon.
• Major Investors: Prosus and SoftBank hold a combined 22% stake, while Elevation Capital and Peak XV Partners are the largest investors in the company.

Meesho's IPO filing comes amidst a flurry of activity in the Indian market, with companies like Pine Labs, Wakefit, Curefoods, and Shadowfax recently filing their own DRHPs to raise a combined Rs 6,000 crore. While the exact timeline for Meesho's listing remains undisclosed, the company's strategic moves and ambitious funding goals signal a significant player entering the public market.

Note: All figures are approximate and based on available reporting.