Meesho becomes public limited company ahead of IPO
What's the story
E-commerce giant Meesho has officially transitioned from a 'private limited' to a 'public limited' company, marking a major milestone in its journey toward an initial public offering (IPO).
The Bengaluru-based firm has also requested the National Company Law Tribunal's approval to shift its domicile from the US back to India ahead of the listing.
Strategic shift
Meesho's board approves name change
In May, Meesho's board approved changing the name of its Indian entity from Fashnear Technologies Pvt Ltd to Meesho Pvt Ltd.
The move is part of a larger strategy that includes exploring various options for long-term growth and value enhancement, including an IPO at an appropriate time.
"The company intends to maintain readiness from a regulatory and compliance perspective to enable such an offering when deemed appropriate," it added in its RoC filing.
Growth trajectory
Meesho has shown impressive growth
Meesho has shown impressive growth, with a 34% year-on-year increase in orders between April and December 2024.
The company had 187 million unique annual transacting users by December-end, a 26% rise from the same period last year.
According to CLSA, Meesho is at a gross merchandise value (GMV) run rate of $6.2 billion and is estimated to grow at a compound annual growth rate (CAGR) of 26% over the next six years.