Bengaluru-based online marketplace Meesho has filed its updated draft red herring prospectus (UDRHP) with the SEBI to raise up to ₹4,250 crore through a fresh equity issue. The offer also includes an offer-for-sale (OFS) of 17.56 crore shares, providing an exit route for early backers such as Elevation Capital, Peak XV Partners, and others.
Other selling shareholders include Highway Series 1 (a Series of Venture Highway SPVs LLC), Y Combinator Continuity Holdings I LLC, Golden Summit Limited, VH Capital, VH Capital XI, as well as promoters Vidit Aatrey and Sanjeev Kumar, and individual shareholder Man Hay Tam.
Softbank-backed Meesho will become India’s first large-scale horizontal e-commerce marketplace to list publicly, following the listing of niche player Nykaa in 2021.
The company plans to utilise the net proceeds to fund investments in cloud infrastructure, AI and machine learning development, and marketing and brand initiatives through its subsidiary, Meesho Technologies Private Limited. A portion of the funds will also be used for inorganic growth opportunities, acquisitions, and general corporate purposes.
In FY25, Meesho connected over 5,00,000 transacting sellers with around 199 million annual transacting users (ATUs), facilitating 1.8 billion orders during the year. ATUs grew 28 per cent year-on-year, reaching 213 million for the last twelve months ending June 2025, indicating sustained traction across India’s e-commerce market.
The company reported a net loss of ₹3,942 crore in FY25, largely due to a one-time exceptional item, including reverse flip tax and perquisite tax, incurred as part of its transition to a public company structure.