Indian e-commerce company Meesho Ltd., backed by SoftBank Group Corp., is preparing to launch an initial public offering (IPO) that could raise up to $605 million, according to a company announcement.
The IPO, slated to begin investor subscriptions next week, marks one of the largest public listings from a digital commerce platform in India this year.
The company plans to offer shares in the range of 105 rupees to 111 rupees per share. Shareholders including Elevation Capital V Ltd., Peak XV Partners Investments V, and Meesho founders Vidit Aatrey and Sanjeev Kumar are expected to sell up to 105.5 million existing shares.
The company also aims to raise up to 42.5 billion rupees by issuing new shares. Meesho, launched in 2015, has positioned itself as an online marketplace catering primarily to smaller cities and towns in India.
Its platform allows individuals and small businesses to sell products through social media channels, capitalizing on a growing wave of internet adoption outside major metropolitan areas.
India’s IPO market has seen a significant surge in recent years. Firms in the country have collectively raised nearly $19.6 billion so far in 2025, following a record $21 billion raised in 2024, according to Bloomberg data.
Meesho’s IPO comes amid heightened investor interest in technology driven consumer platforms and social commerce models.
Kotak Mahindra Capital Co., Axis Bank Ltd., and the local branches of JPMorgan Chase & Co., Morgan Stanley, and Citigroup Inc. are advising Meesho on the offering, according to the company’s prospectus.
Financial analysts see Meesho’s IPO as a litmus test for social commerce in India, where online retail continues to grow rapidly, but profit margins remain thin.
“Meesho’s model of enabling small sellers to leverage social media is uniquely positioned to capture tier two and tier three markets,” said Ramesh Iyer, a Mumbai based equity analyst.
“Investors will watch closely how the company balances growth and profitability in its post IPO phase.” Other market experts point to SoftBank’s involvement as a vote of confidence in Meesho’s long term potential.
“SoftBank’s backing has been instrumental in scaling operations and building technology infrastructure,” said Priya Sharma, managing partner at Delhi based venture consultancy Horizon Capital.
The IPO will provide liquidity for early investors while raising capital for further expansion. Meesho’s IPO pricing and expected proceeds place it among the larger Indian tech listings of 2025.
For context, e-commerce giant Flipkart has not filed for a public listing yet, while smaller marketplaces such as Nykaa and Zomato have leveraged IPOs in recent years to raise comparable funds.
The social commerce segment in India is estimated to reach $20 billion by 2026, according to industry consultancy RedSeer.
Meesho’s platform currently reports over 20 million active sellers and more than 150 million registered users, highlighting the scale of its operations relative to its peers.
Local sellers in tier two cities expressed cautious optimism about Meesho’s IPO. “We have been using Meesho for over two years to reach customers in nearby towns,” said Anjali Verma, a clothing retailer from Kanpur.
“If the company grows after this IPO, it could bring better tools and more support for small sellers like us.”
Similarly, some users from smaller towns noted the platform’s role in providing business opportunities amid limited offline retail options.
Meesho allowed me to start a side business from home, said Ravi Kumar, a resident of Bhagalpur. “I hope the company’s listing brings more stability and features for sellers.”
Industry observers expect Meesho to channel IPO proceeds into technology upgrades, expanding logistics networks, and increasing marketing in underserved cities.
Analysts also anticipate that the company will face increasing competition from larger e-commerce players such as Amazon India and Flipkart, as well as emerging niche platforms targeting similar customer segments.
“Post IPO, Meesho will need to demonstrate that its growth can be sustainable and profitable,” said Iyer. “The next few quarters will be critical in showing that social commerce can scale efficiently in India.”
Meesho’s planned IPO represents a significant milestone for India’s social commerce sector and the broader tech IPO market.
With SoftBank’s backing and a growing base of small sellers, the platform is poised to tap rising demand in smaller cities.
Investors and market watchers will closely monitor the listing, which could shape future trends in e-commerce and social retail in India.
