Upcoming IPO News: Meesho Files Updated IPO Papers with SEBI: Rs.4,250 Crore Fresh Issue and Major OFS by Investors

Upcoming IPO News: Meesho Files Updated IPO Papers with SEBI: Rs.4,250 Crore Fresh Issue and Major OFS by Investors

E-commerce platform Meesho has filed its updated Draft Red Herring Prospectus (UDRHP) with the Securities and Exchange Board of India (SEBI) for its initial public offering (IPO). The proposed offering includes a fresh issue of equity shares worth ₹4,250 crore, alongside an Offer for Sale (OFS) of up to 17.57 crore shares by existing investors and promoters.

The OFS will see partial exits by key early backers including Elevation Capital, Peak XV Partners, Y Combinator, Golden Summit, and Venture Highway, as well as Meesho’s co-founders Vidit Aatrey and Sanjeev Kumar.

According to the filing, funds raised from the fresh issue will be used to strengthen Meesho’s cloud infrastructure, boost AI and technology development, enhance marketing and branding initiatives, and pursue inorganic growth opportunities, in addition to general corporate purposes.

Operationally, Meesho has continued its strong growth trajectory. In FY25, the platform connected over five lakh sellers with 199 million users, facilitating nearly 1.8 billion orders. The company’s Net Merchandise Value (NMV) grew 29% year-on-year to reach ₹29,988 crore in FY25, and further accelerated by 36% in the first quarter of FY26.

Financially, Meesho achieved a significant milestone by turning free cash flow positive, generating ₹1,032 crore in FY25. However, the company reported a net loss of ₹3,942 crore, primarily due to a one-time exceptional item.

The IPO will be managed by top financial institutions including Kotak Mahindra Capital, JP Morgan India, Morgan Stanley India, Axis Capital, and Citigroup Global Markets India, who will serve as the book-running lead managers.