The initial public offering (IPO) of the popular online shopping platform Meesho has entered its final day of bidding, witnessing robust demand from investors across categories. The issue, which closes today, Friday, 5 December 2025, has been oversubscribed 9.07 times so far, indicating high market interest in the company's stock market debut.
Subscription Details and Grey Market Buzz
As of the latest data, investors have placed bids for a staggering 221 crore equity shares against the total issue size of 27.79 crore shares on offer. The demand has been led by retail individual investors (RIIs), who have subscribed their portion 10.22 times. Non-institutional investors (NIIs) have shown even stronger appetite, bidding 12.44 times their allotted quota. Qualified institutional buyers (QIBs) have subscribed 6.97 times.
The excitement is also palpable in the unofficial grey market. The IPO's grey market premium (GMP) is hovering around Rs 49.5, which is approximately 45% over the upper end of the price band. With the price band set at Rs 105 to Rs 111 per share, this GMP suggests an estimated listing price of around Rs 160.5 per share, hinting at a potential listing gain of nearly 44.6% for allottees.
IPO Structure and Financial Snapshot
The Rs 5,421.20 crore IPO comprises a fresh issue of 38.29 crore shares worth Rs 4,250 crore and an offer-for-sale (OFS) of 10.55 crore shares worth Rs 1,171.20 crore by existing shareholders. The lot size for retail application is 135 shares.
Financially, Meesho has demonstrated impressive top-line growth. For the fiscal year 2025, the company reported a revenue of Rs 9,389.9 crore, marking a significant 23.3% year-on-year increase. However, the path to profitability remains a work in progress. The company reported an adjusted EBITDA loss of Rs 2,595.3 crore for FY25, though it has been consistently reducing these losses.
Analyst Views: Strengths, Risks, and Verdict
Analysts point to Meesho's unique zero-commission model as a key strength, which has helped it amass a vast and diverse seller base. This has allowed the platform to build an extensive catalogue, hosting 15.4 crore daily active product listings in the first half of FY26.
However, risks persist. A significant reliance on cash-on-delivery (COD) orders exposes the company to higher operational costs, fraud, and cancellation risks. Intense competition from larger rivals in logistics, seller acquisition, and product discovery is another challenge.
Brokerage firms have largely given a thumbs up. ICICI Direct has assigned a 'subscribe' rating, citing improving operating metrics and a reasonable valuation. SBI Securities has also recommended subscribing, while cautioning that Meesho's ability to achieve sustainable profitability will be crucial as it continues to spend on growth.
"The market is betting on its rising order volumes and operating efficiency to lead it to profitability. The key risk is whether Meesho can convert its massive scale into sustainable profits," noted Ishan Tanna, Research Analyst at Ashika Institutional Equity Research.
The share allotment for the IPO is expected on Monday, 8 December 2025, and the stock is likely to list on both the BSE and NSE on Wednesday, 10 December 2025.
