This is the first tranche of a larger financing transaction of $600 million that the Bengaluru-based company intends to complete. This comes a month after Meesho was trying to increase the size of its future investment round to $500-$650 million from the previously targeted $300 million. Meesho has raised a total of $1.36 billion, since 2015.
Meesho, an e-commerce platform, has secured a $275 million fundraising round through a combination of primary and secondary share sales.
According to an ET article, a regulatory submission to the US Securities and Exchange Commission (SEC) also indicated a share transfer within Meesho’s US parent company without offering additional information.
This is the first tranche of a larger financing round of $600 million that the Bengaluru-based company plans to complete, according to the article.
“The terms of the broader valuation round are still being worked out. It might be up to $3.9 billion, but that will be determined once the round closes,” a source close to the situation told ET.
Meesho “has closed the first part of the funding round with both existing and new investors.” It (Meesho) is currently finalizing the allocation for the remainder of the investment round,” the paper stated, citing sources.
This comes a month after reports stated that Meesho was planning to increase the amount of its future investment round to $500-$650 million from $300 million.
Meesho was reportedly planning to raise $300 million (about INR 2,499 crore) in a new investment round earlier in March, according to the sources. Tiger Global and SoftBank were among the investors who participated in this transaction.
According to individuals acquainted with the situation, the overall size of the round has increased with the addition of a key component.
Meesho has raised a total of $1.36 billion since 2015, including funding from secondary sources, according to ET.
Meesho, which was founded in 2015 by Vidit Aatrey and Sanjeev Barnwal, claims to have over 15 lakh sellers on its e-commerce platform across India. The firm also claims to have over 140 million yearly transactional users.
Meesho’s investors include DST Partners, Elevation Capital, Facebook, and Prosus.
Meanwhile, Meesho is actively discussing the reverse flip of its US parent company, which is tied to its intentions for an IPO in India. However, the corporation has yet to finalise its plans.
