Meesho, the budget-friendly e-commerce platform, has submitted its draft red herring prospectus (DRHP) through the confidential pathway provided by the capital markets regulator, Securities and Exchange Board of India (SEBI), to secure Rs 4,250 crore in primary capital through an IPO.

The company based in Bengaluru seeks to generate ₹4,250 crore in primary capital via this initial public offering (IPO). This action places Meesho alongside an increasing number of modern companies aiming to go public on Dalal Street.

Reports suggest that the overall IPO size might hit ₹8,500 crore ($1 billion), including both primary capital and a secondary share sale aspect. The company is said to be aiming for a listing in the September-October timeframe this year.

Meesho’s choice to follow the confidential filing approach is a strategic move. This method enables the company to protect confidential business data from competitors like Flipkart and Amazon.

Additionally, it offers the capability to review and modify IPO schedules if market circumstances change. This discreet filing approach has been embraced by other prominent modern companies, such as Pine Labs, Wakefit, Curefoods, Shadowfax, Groww, Steamhouse India, and PhysicsWallah.

For example, Shadowfax has also recently submitted confidential draft documents for a proposed IPO with a target of raising ₹2,000-2,500 crore.

Before its public launch, Meesho has executed significant internal reorganization. The company has restructured its board, converted into a public entity, and finalized its ‘flip’ back to India, officially relocating its domicile from the United States. This involved the combination of its Delaware-based unit, Meesho Inc., with its Indian entity, Fashnear Technologies Private Limited. The merger received approval from the National Company Law Tribunal (NCLT) in May.

On May 13, 2025, Fashnear Technologies Private Limited was officially rebranded as Meesho Pvt Ltd, reflecting the company’s commitment to enhancing its brand identity as a prominent Indian e-commerce platform.

Shareholders had earlier given their consent for the IPO and a modification in the title of co-founder and CEO Vidit Aatrey to Chairman and Managing Director.

Established in 2015 by Vidit Aatrey and Sanjeev Barnwal, Meesho functions as an affordable e-commerce platform mainly catering to online buyers in tier-2, tier-3 cities and other areas.

The firm has garnered substantial funding from notable organizations such as SoftBank Group, Fidelity Investments, Prosus, and Peak XV Partners, with its most recent valuation approaching $4 billion. Financially, Meesho showcased strength in the fiscal year 2023-24, as its revenue rose by 33% to ₹7,615 crore.

Significantly, its loss reduced to ₹53 crore in FY24, reflecting a major enhancement from a loss of ₹1,569 crore (excluding ESOP expenses) in FY23. These economic enhancements arise as India’s Nifty 50 has bounced back from reaching a 12-month low earlier this year, suggesting a possibly more positive market sentiment for new IPOs.

Meesho’s IPO arrives during a revival in India’s tech IPO landscape, as numerous digital-centric firms have applied for public offerings in the past few months. The decision indicates a resurgence in investor interest for tech-driven, high-growth companies following an extended period of funding challenges.

Meesho’s public offering is anticipated to establish standards for valuation and governance within the e-commerce industry, possibly opening doors for other unicorns to access public markets.

Conclusion

Meesho’s secret DRHP submission for a ₹4,250 crore IPO signifies a crucial moment for India’s e-commerce and startup landscape. With solid financial expansion, strategic governance adjustments, and strong investor support, the company is ready for a significant market launch later this year. The success of the IPO will be monitored closely as an indicator for the upcoming wave of Indian tech listings.

: This news is solely for educational purposes. The securities/investments quoted here are not recommendatory.