SoftBank-backed e-commerce platform Meesho will launch its closely watched IPO next week, with the three-day public issue set to open on Wednesday, December 3, and close on Friday, December 5. The company has fixed its price band at Rs 105-111 per share, valuing the business at nearly Rs 50,096 crore at the upper end.
Meesho's initial public offering will raise Rs 5,421.05 crore at the top of the price range, comprising a fresh issue of Rs 4,250 crore and an offer for sale (OFS) of up to 10.55 crore shares by existing shareholders. Meesho has significantly trimmed the OFS component -- cutting it by almost 40 percent from the previously planned 17.57 crore shares -- bringing OFS proceeds down to around Rs 1,172 crore, compared with Rs 1,950 crore earlier. The fresh capital component remains unchanged.
Investors can bid for a minimum lot size of 135 shares, with the sale structured as a combined fresh issue and OFS. Allocation will follow standard market norms: not less than 75 percent of the offer reserved for qualified institutional buyers (QIBs), not more than 15 percent for non-institutional investors (NIIs), and not more than 10 percent for retail investors.
The IPO timeline is spread over the following dates:- IPO opens: December 3
- IPO closes: December 5
- Tentative Allotment: December 8
- Refunds initiation: December 9
- Shares credited to demat: December 9
- Tentative listing date: December 10
Anchor investor participation is scheduled a day before the public issue opens.
Early shareholders and founders stand to gain significantly from the listing. Co-founders Vidit Aatrey and Sanjeev Kumar, who together hold 18.51 percent pre-issue, are among the biggest beneficiaries. Aatrey owns 47.25 crore shares, representing 11.1 percent stake, acquired at an average price of just Rs 0.06 per share. At the upper end of the IPO price band, his stake is valued at Rs 5,245 crore, more than 1,800 times its earlier notional value of roughly Rs 2.84 crore.
Kotak Mahindra Capital Co. Ltd. is the book-running lead manager, while Kfin Technologies Ltd. will serve as the registrar to the issue.
With a reduced OFS, a substantial fresh capital component, and strong investor interest centred on India’s fast-growing value e-commerce segment, Meesho’s public debut is expected to be one of the most keenly tracked listings of the year.
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