IPO-bound e-commerce company Meesho has secured $250-$270 million in new financing, with Tiger Global, Think Investments and Mars Growth Capital joining the ongoing funding round at a valuation of $3.9-4 billion, The Economic Times reported on Monday citing sources. This brings the total raised to approximately $550 million, with the majority being secondary transactions.
Existing investors Peak XV and WestBridge Capital are also participating in the round.
Meesho, which competes with Amazon and Flipkart and is preparing for IPO in 2026, has also filed an application with the National Company Law Tribunal (NCLT) for a reverse merger of its Indian subsidiary, Fashnear Technologies, with its US-based parent entity, Meesho Inc., the report said.
The company had reported a 33 per cent growth in its operating revenues for FY24 to Rs 7,615 crore from Rs 5,735 crore while its adjusted loss narrowed by 97 per cent from Rs 1,569 crore to Rs 53 crore during the period. Meesho said it was the first horizontal e-commerce platform to generate an operating cash flow of Rs 232 crores for the full FY24.
Meesho saw around 35 per cent year-on-year increase in orders in 2024 and reached approximately 175 million annual transacting users during the year. Around 50 per cent of the user base was from tier 4+ towns.
The company had claimed 145 million unique Annual Transacting Users (ATUs) in FY24 and had raised $275 million earlier this year.
The Indian e-commerce market is likely to scale to $325 billion by 2030, according to the government’s Invest India portal. With 881 million users, India has the second-largest Internet user base in the world, and by 2030, it is expected to rise to the third position in the online retail industry. Currently, the e-commerce market in India is valued at $70 billion, which accounts for around 7 per cent of the country’s overall retail market.