E-commerce major Meesho is gearing up for its initial public offering (IPO) and has selected Morgan Stanley, Kotak Mahindra Capital, and Citi as its bankers. The company plans to raise a whopping $1 billion through its IPO, with bankers pitching a valuation of $10 billion.
Meesho Revs Up IPO Plans, Appoints Morgan Stanley, Kotak Mahindra, and Citi as Bankers
IPO Details:
– IPO Size: $1 billion
– Valuation: $10 billion
– Bankers: Morgan Stanley, Kotak Mahindra Capital, and Citi
– Expected Listing: September-October, around Diwali
Meesho’s Growth Story:
Meesho has been growing steadily, with revenues increasing from Rs 3,240 crore in FY22 to Rs 7,615 crore in FY24. The company has also reduced its net losses significantly, from Rs 3,248 crore in FY22 to Rs 305 crore in FY24.
Reverse Merger Process:
As part of its IPO process, Meesho is relocating its headquarters from Delaware to India through a reverse merger between its Indian entity Fashnear Technologies and its US parent company. This move will trigger a tax liability of around $300 million but is necessary for regulatory compliance.
Market Expectations:
Meesho’s IPO is highly anticipated, with the company expected to list on the stock exchanges around Diwali this year. This timeline puts Meesho ahead of its rival Flipkart, which is still waiting for a go-ahead from Walmart.
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