Meesho announces IPO at ₹50,000-cr valuation

SOFTBANK-BACKED e-commerce firm Meesho, whose ₹5,421-crore initial public offering (IPO) opens for bids on December 3, on Friday set the price band at ₹105-111.

- NESIL STANEY

The firm will be valued at ₹50,096 crore at the upper end of the band. Proceeds will be used for technology upgrades, greater AI adoption, marketing and opportunistic inorganic growth.

Meesho’s value proposition is the “simplicity of products” and it has the “highest user rate among e-commerce apps,’ the company said. It is using “artificial intelligence (AI) to solve India-specific problems in areas including product delivery, voice search and image search’.

While its logistics division is profitable, the advertising section has higher margins.