The Meesho IPO’s share allocation process is set to be concluded today following overwhelming demand from various investor segments during the public offering. The IPO, which concluded on December 5, received a remarkable 81.76 times oversubscription, solidifying its position as one of the most sought-after issuances of the year.
Meesho offered 26,86,18,197 shares but garnered bids for 21,96,29,80,575 shares valued at Rs 2,43,789.08 crore. The robust response was primarily driven by Qualified Institutional Buyers (QIBs) with a subscription rate of 123.34 times. Retail investors subscribed 19.89 times, while Non-Institutional Investors (NIIs) subscribed 39.85 times.
The substantial oversubscription indicates that the allocation is expected to be tight, potentially leading to many retail investors not receiving shares.
Investors can verify their Meesho share allotment status through either the BSE website or the registrar, Kfin Technologies Ltd. On the BSE website, investors need to navigate to the IPO allotment page, select the equity option, choose Meesho Limited, input their application number and PAN, and complete the captcha to access their status. Alternatively, on the Kfin Technologies portal, investors should select Meesho Limited and search using their application number, PAN, or Demat account number.
The grey market premium (GMP) for Meesho has slightly decreased but still points towards promising listing gains for successful applicants. The current GMP for the Meesho IPO stands at Rs 42 as of December 8. Considering the upper price band at Rs 111 per share, the anticipated listing price is approximately Rs 153, indicating a potential gain of 37.84% per share from the issue price. It is important to note that GMPs are subject to fluctuations, and actual listing performance may vary based on market conditions.
The Meesho IPO, a book-built offering valued at Rs 5,421.20 crore, comprises a fresh issue of 38.29 crore shares amounting to Rs 4,250 crore and an offer for sale of 10.55 crore shares valued at Rs 1,171.20 crore. The price range was set at Rs 105 to Rs 111 per share, with the minimum lot size for retail investors at 135 shares, requiring an investment of Rs 14,985. For Non-Institutional Investors (NIIs), the minimum investment is Rs 2,09,790 for 1,890 shares, while for Qualified Institutional Buyers (QIBs), it is Rs 10,03,995 for 9,045 shares.
The Meesho IPO commenced on December 3 and closed on December 5. The final allotment will be determined today, December 8, with the shares expected to be listed on BSE and NSE on December 10. Kotak Mahindra Capital Co. Ltd. serves as the book-running lead manager, and Kfin Technologies Ltd. acts as the registrar.