Highlights: Meesho IPO Day 3 – GMP jumps 47%; What investors should track on the final day

SBI Securities recommend investors to Subscribe to the issue at the cut-off price for a long-term investment horizon. The report added, “these event are over and there would likely be no exceptional tax expense going forward which should help reduce losses. At the upper price band of Rs 111, Meesho is valued at FY25 price-to-sales ratio of 5.3x on post issue capital. Going forward, Meesho’s path to sustainable profitability will be a key monitorable especially as it continues to make investments in technology, marketing and engineers.”

“Meesho continues to make investments in technology and logistics which we believe will lead to sustainable profitability in the coming years. Issue at upper price band is available at 5.7x FY25 Price/Sales which looks reasonable and hence recommend ‘Subscribe’ to the issue,” said Nirmal Bang in its IPO note.

The Meesho IPO began its subscription on December 3 and will close today December 5. The allotment process is scheduled for December 8, and the company is expected to make its market debut on the BSE and NSE on December 10.

“On valuation parse at the upper price band of Rs 111, the issue is asking for a Market cap of Rs. 50096 c. Based on FY2025 actuals, the company is valued at approx ~5.3x Market-Cap to sales, and at around ~4.9x FY2026 annualised revenue, which appear fairly priced relative to listed new-age tech peers. Given its strong category penetration, rising MAUs, and structurally lower cost base compared to competitors, we believe Meesho is well positioned to sustain market share gains and improve profitability over the long term. Hence, we recommend risk seeking investors who wanted to capitalise India’s expanding e-commerce landscape to “SUBCRIBE” Meesho IPO for long term perspective only,” said Mehta Equities in its IPO note on Meesho.

Angel One in it report said a ‘Subscribe for long-term’. As per the report, “at the upper end of the price band, Meesho is valued at roughly Rs 50,096 crore post-issue; the company remains loss-making, so P/E is negative and not a meaningful valuation metric. On operating metrics the IPO price implies an FY25 price-to-sales of ~5.3x, underpinned by a robust GMV run-rate of $6.2 billion and improving marketplace contribution margins.”

The company works in a crowded e-commerce field dominated by players like Amazon, Flipkart and JioMart. Meesho relies on social commerce channels and deeper penetration into tier-2 and tier-3 markets. Sustained growth depends on its ability to maintain customer acquisition, logistics efficiency and platform engagement amid rising competitive activity.

Anchor investors face a 30-day lock-in on half their allotment and 90 days on the remainder. This structure reduces sudden selling pressure near the listing date and introduces a staggered release of institutional shares. Other investors, including retail participants, do not face any lock-in on allotment.

The allotment process is scheduled for December 8, 2025, followed by refunds and share credits on December 9, 2025. Applicants can check their status through registrars or exchange portals. The system confirms whether shares have been allotted, returned or remain pending, allowing investors to plan for potential listing-day actions.

As of Day 2, the Aequs IPO is subscribed 11.49 times overall.

Here’s how each investor category looks -

Retail investors: Subscribed 34.57 times

Qualified Institutional Buyers (QIBs): Subscribed 0.75 times

Non-Institutional Investors (NIIs): Subscribed 17.50 times

Retail investors need to apply for a minimum lot of 135 shares, translating to an investment range of Rs 14,175 to Rs 14,985 depending on pricing. Allocations follow standard rules: 10% retail, 75% QIB, and 15% NII.

Meesho’s public issue has been open since December 3, and closes today, December 5. The company has fixed the price band between Rs 105–111 price band. With a total issue size of Rs 5,421.20 crore, the offer mixes fresh capital requirements with shareholder exits.