The much-anticipated initial public offering (IPO) of the social commerce giant Meesho has officially opened for subscription today, December 3. The company is looking to raise a substantial sum of ₹5,421 crore through this public issue, marking a pivotal moment in India's startup ecosystem. The bidding window will remain open for investors until December 5.
Meesho IPO: Key Details and Structure
Meesho has set its IPO price band in the range of ₹105 to ₹111 per share. At the upper end of this band, the company commands a valuation of approximately ₹50,096 crore. The total issue comprises two components. The first is a fresh issue of equity shares worth ₹4,250 crore, which will bring fresh capital into the company. The second is an offer for sale (OFS) of 10.55 crore shares, valued at up to ₹1,171 crore, where several early-stage investors will partially exit their holdings.
Prominent investors participating in the OFS include Elevation Capital, Peak XV Partners (formerly Sequoia Capital India), Venture Highway, and Y Combinator. In terms of allocation, the IPO reserves 75% for qualified institutional buyers (QIBs), 15% for non-institutional investors (NIIs), and 10% for retail investors.
Financial Performance and Use of Proceeds
Meesho's financial journey shows a story of rapid growth alongside a significant push towards profitability. For the full financial year 2024-25 (FY25), the company reported a substantial net loss of ₹3,942 crore. This was largely attributed to one-time exceptional expenses related to its corporate restructuring, including a reverse flip tax and perquisite tax linked to its transition to a public company structure.
However, the narrative has shifted dramatically in the current fiscal year. For the first half of FY26 (April to September 2025), Meesho has drastically reduced its losses to ₹700.72 crore, a sharp improvement from the ₹2,513 crore loss recorded in the same period a year earlier. Concurrently, its operational strength is evident as revenue from operations surged to ₹5,577.54 crore in H1 FY26, up from ₹4,311.29 crore in H1 FY25.
The capital raised from the fresh issue will be strategically deployed. Meesho plans to use the proceeds to invest in cloud infrastructure, boost marketing and brand-building initiatives, pursue potential acquisitions and strategic growth opportunities, and cover general corporate expenses.
Grey Market Premium and Listing Date
The IPO is generating considerable buzz in the unofficial grey market. The Meesho IPO Grey Market Premium (GMP) today stands at ₹49, which is reported to be its highest level so far. This premium suggests strong investor demand. At this prevailing GMP, the estimated listing price for Meesho shares could be around ₹160 per share. If realized, this would translate to a handsome listing gain of approximately 44.14% over the upper price band of ₹111.
Following the subscription period, Meesho shares are scheduled to list on both the BSE and NSE on December 10, 2025. This listing will provide public market investors with an opportunity to own a stake in one of India's leading e-commerce platforms focused on value-seeking customers.
