The company might submit its DRHP soon to the SEBI. Meesho is hoping to go public around September and October estimated to launch at Diwali.
Through the launching of this IPO, the company’s valuation will rise sharply from $3.9 billion in 2024 to $10 billion. Due to strong investor confidence and fresh funding, the company has been growing rapidly. With the help of investors like Tiger Global, Peak XV, Think Investments, Mars Growth Capital, and WestBridge Capital the company raised the amount of $550 million (₹4,700 crore).
The long delay in the process of launching its IPO is due to shifting its headquarters from Delaware to India. Meesho has already submitted its application to the National Company Law Tribunal (NCLT) regarding a reverse merger process between its Indian Unit, Fashnear Technologies, and its US parent company. Through this moving process, the company will be charged with a tax liability of $300 million (₹2,580 crores) which is necessary for regulatory compliance.
Meesho is an online marketplace that helps small businesses and individuals to buy and resell products. In the past year, the company came through a growth of 35% in order volumes and now has 175 million annual transacting users.
In FY24, the company generated a revenue of Rs.7615 crore, which was Rs.3,240 crore in FY22 and Rs.5,735 crore in FY23 showcasing the company’s financials show growth and discipline.
By 2030, India’s e-commerce market now valued at $70 billion is estimated to reach $325 billion. Alongside Meesho, some of the biggest companies like PhysicsWallah, Ather Energy, and Lenskart will be also launching their IPO.
Meesho’s IPO can be one of India’s largest tech companies due to its bankers, strong financials, and regulatory restructuring underway. If Meesho successfully launches its IPO, then not only it will surpass Flipkart it will also demonstrate its growth potential.
