SoftBank Invests in Meesho $606M IPO – India’s E-commerce Milestone
- * Company: Meesho, an Indian e-commerce company competing with Amazon and Flipkart.
Meesho IPO – Key Facts:
* Company: Meesho, an Indian e-commerce company competing with Amazon and Flipkart.
* IPO Size: Approximately $606 million.
* Fresh Capital: ₹42.50 billion (about $475 million) will be raised.
* Post-Issue Valuation: Roughly ₹501 billion (around $5.60 billion).
* Previous Valuation: $5 billion (in 2021).
* Share Price: ₹105-111 per share.
* First Mover: Meesho is teh first major horizontal e-commerce platform in India to go public.Flipkart and Amazon are expected to follow.
* Shareholder Activity:
* Selling: Elevation Capital (4% stake), Peak XV Partners (3%), Y Combinator (14%).
* Not Selling: SoftBank,Prosus,and Fidelity.
* Increased Selling: Co-founders Vidit Aatrey and Sanjeev Kumar are selling more shares than initially planned.
* Offer-for-Sale Reduction: Reduced by 40% to 105.5 million shares (₹11.7 billion / ~$131 million).
* Founded: 2015, initially as a social commerce platform via WhatsApp.
* Business model: Low-cost model targeting price-sensitive Indian consumers and small merchants. Revenue from logistics, advertising, and services; commissions on Meesho Mall.
* Financials (6 months ended Sept 30):
* Revenue: ₹55.78 billion (about $624.0 million) – up from ₹43.11 billion YOY.
* Net Merchandise Value: ₹191.94 billion (roughly $2.15 billion) – up 44% YOY.
* Loss: ₹4.33 billion (around $48.4 million) - losses widened.