Meesho is a name that many people know today, especially small shopkeepers, housewives, and people who sell online. It is a company that helps people start their own business without spending money on stock. Now, Meesho is planning to bring its IPO (Initial Public Offering), which means it will sell its shares to the public.This is big news because when a company brings an IPO, it means it has grown a lot and wants more investors.
What is Meesho?
Meesho is an online shopping platform where normal people can sell products through WhatsApp, Facebook, and Instagram. Unlike Amazon and Flipkart, where companies sell directly, Meesho allows small business owners to earn money by reselling products.
For example:
Suppose Rita, a housewife, wants to earn money.She doesn’t have a shop, but she wants to sell sarees.On Meesho, she finds beautiful sarees, shares the pictures on WhatsApp, and tells her customers a price.If a customer orders, Meesho delivers the saree directly to the customer, and Rita earns a profit!
This is how Meesho helped lakhs of small sellers earn money without any investment.
Who Started Meesho?
Meesho was started in 2015 by Vidit Aatrey and Sanjeev Barnwal.Both of them studied at IIT Delhi.They saw that many small shopkeepers and women wanted to do business but had no money to buy stock.So, they started Meesho, a platform where anyone can sell without keeping products in stock.Their idea became a huge success, and today, Meesho is one of India’s biggest e-commerce companies!
Who Owns Meesho?
Big companies and investors have invested crores of rupees in Meesho to help it grow. Some of them are:
SoftBank Vision Fund (A Japanese company that invests in growing businesses)
Meta (Facebook) (Yes, Facebook itself has invested in Meesho!)
Sequoia Capital
Prosus Ventures
Elevation Capital
These companies believe that Meesho will become even bigger in the future!
How Big is Meesho?
Meesho has grown a lot in the last few years. Let's look at the numbers:
Financial Detail | FY 2022-23 | FY 2023-24 | Growth |
---|---|---|---|
Orders Placed (millions) | 1,037 | 1,342 | +29% |
Revenue (₹ crores) | 5,735 | 7,615 | +33% |
Adjusted PAT (Profit) (₹ crores) | -1,569 | -53 | 97% improvement! |
Operating Cash Flow (₹ crores) | -2,303 | +232 | Now Positive! |
What does this mean?
✅ More people are ordering from Meesho (29% more orders than last year!)✅ Meesho is earning more money (33% increase in revenue!)
✅ Meesho is reducing its losses (from ₹1,569 crore loss to just ₹53 crore!)
✅ Meesho is now making cash profits (which means the company is in a better financial position).
In simple words, Meesho is growing fast and getting closer to making real profits.
Meesho IPO Details (The Big News!)
Meesho is planning to launch its IPO, which means it will sell shares to the public. Here are the important details:- Current Valuation – Meesho was valued at $4.9 billion in 2021, but now it is worth around $3.9–4 billion.
- Target IPO Valuation – Meesho wants to raise $1 billion (around ₹8,000 crore) and is aiming for a $10 billion valuation.
- IPO Advisors – Meesho has hired Morgan Stanley, Kotak Mahindra Capital, and Citi as advisors for the IPO.
- Expected Launch Date – The IPO is expected to come around Diwali 2025.
Should You Invest in Meesho’s IPO?
Now comes the big question – should you buy Meesho shares in the IPO?
Reasons to Invest
✔ Meesho is a well-known brand – Millions of sellers and buyers trust Meesho.✔ Strong business model – Meesho does not keep stock, so costs are low.
✔ Fast-growing company – Orders and revenue are increasing every year.
✔ Improving financials – Losses are reducing, and cash flow is now positive.
Risks to Consider
❌ Big competition – Meesho competes with Amazon, Flipkart, and Jiomart.❌ Not fully profitable yet – It has improved, but it still needs to make real profits.
❌ Market conditions – If stock markets are down, IPO prices may fall after listing.
Example:
In 2021, Paytm launched its IPO, but after listing, the stock price fell by 70%! Investors lost money.But in 2021, Zomato also launched an IPO, and its stock doubled in price later.
So, investing in an IPO is risky. If you want to invest, do proper research, read the IPO details, and consult an expert.