Meesho secures $275 million funding, looks to raise up to $600 million

E-commerce platform Meesho has secured $275 million in funding by closing an investment round with a blend of primary and secondary share sales as the business looks to reach $600 million in a larger funding round.

“The details are still being worked out for the broader round on valuation,” an anonymous source close to the development told ET Tech. “It would be up to $3.9 billion but will be finalised once the round closes.” Both existing and new investors joined the recent funding round and a regulatory filing with the US Securities and Exchange Commission showed that shares from Meesho’s US-based parent company had been transferred.
 
In September 2021, Meesho raised $570 million in funding at a valuation of $4.9 billion. Key investors in the funding round included B Capital, Prosus, and Softbank Vision Fund. The valuation was up from $2.1 billion in April earlier that year when the business raised $300 million in a separate funding round which included Softbank Vision Fund, Prosus, and Venture Highway.
 
The business has raised a total of $1.36 billion so far since 2015, ET Bureau reported. Some of the company’s early investors have been working to exit from the business with secondary share sales. Meesho is also mulling an initial public offering in India which could see the business reverse flip its US parent company.