Meesho Eyes $6 Billion Valuation With December IPO

Indian e-commerce platform Meesho Ltd., which plans to launch its initial public offering (IPO) in the first half of December, is seeking a valuation of about Rs 530 billion ($6 billion), according to people familiar with the matter.

The SoftBank Group Corp.-backed firm is in talks with SBI Funds Management Ltd. for a pre-IPO placement, the people said, asking not to be identified as the information is private. The potential placement could alter the IPO size, estimated at about Rs 60 billion, they said.

The offering will comprise a fresh issue of shares worth Rs 42.5 billion and an offer for sale of 175.7 million shares by existing investors, according to Bengaluru-based Meesho’s draft prospectus.

Meesho, an online marketplace that is popular in smaller Indian cities, joins a growing list of companies tapping into India’s booming IPO market. Firms have already raised nearly $19.5 billion this year, following a record $21 billion in 2024, according to data compiled by Bloomberg.

Deliberations are ongoing, and details including timing and deal size could still change, the people said. Representatives for Meesho and SBI Funds didn’t immediately respond to requests for comment.

Meesho generated Rs 10.32 billion in free cash flow in the year ended March 2025, the highest among listed e-commerce firms in India, the company said in a statement this week.

Kotak Mahindra Capital Co., Axis Bank Ltd., and the local units of JPMorgan Chase & Co., Morgan Stanley and Citigroup Inc. are advising on the IPO, according to the prospectus.