Upcoming IPO: Meesho Secured SEBI Approval to Float IPO and Raise Up to ₹7,000 Crore

E-commerce platform Meesho has filed its updated draft red herring prospectus (UDRHP) with the Securities and Exchange Board of India (SEBI) and secured the regulatory approvals required to launch its initial public offering (IPO). With this move, Meesho joins a growing list of digital-first companies preparing to enter the public markets to raise fresh capital and expand operations.

Meesho IPO Size and Fundraising Details

Meesho aims to raise around $480 million (₹4,250 crore) through a fresh issue of shares. In addition to this, an Offer for Sale (OFS) component will see early investors and promoters offloading shares worth another $250–300 million (₹2,200–2,600 crore). This brings the estimated total IPO size to between $700–800 million (₹6,500–7,000 crore).

The funds raised through the fresh issue will be allocated toward key areas such as technology development, brand building, and general corporate purposes, reflecting Meesho’s ongoing focus on scaling its business.

As part of the OFS, several of Meesho’s early backers will be selling a portion of their holdings. These include prominent venture capital firms such as:

• Peak XV Partners
• Elevation Capital
• Venture Highway (now part of General Catalyst)
• Y Combinator

Founders Vidit Aatrey and Sanjeev Barnwal, who have chosen to be formally listed as promoters, will also participate in the OFS by selling part of their stakes. This puts them in line with a growing trend of startup founders adopting traditional promoter status as their companies mature and enter public markets.

Also Read: Integris Medtech Files DRHP With SEBI for ₹925 Crore IPO

Meesho Financial Performance and Profitability

Meesho has yet to turn profitable. In FY24, the company posted revenues of ₹7,615 crore, alongside a net loss of ₹305 crore. However, its losses increased significantly in FY25, climbing to ₹3,941 crore, largely due to one-time costs associated with redomiciling its headquarters from Delaware (US) to India.

Excluding exceptional items, Meesho’s adjusted loss before tax stood at a more modest ₹108 crore for FY25. In the first quarter of FY26, the company reported a net loss of ₹289 crore.

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