Shares of Meesho had a robust debut on Dalal Street, opening at a significant premium due to high demand from investors during its initial public offering. The stock started trading at Rs 162.05 on the NSE and Rs 161.20 on the BSE, representing a substantial increase of nearly 46% from its issue price of Rs 111.
This successful listing followed strong interest in Meesho’s IPO from various investor segments, indicating confidence in the company’s growth trajectory and its emphasis on value-driven e-commerce. Market analysts had predicted a positive debut, considering the impressive subscription figures and the general enthusiasm for modern internet platforms.
Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, had earlier forecasted Meesho’s debut at a premium of 25–30%, supported by the strong subscription momentum and investors’ attraction to its asset-light business model. He suggested that short-term investors might want to consider taking profits at the listing, while those with a higher risk tolerance could hold the stock for 12–18 months, citing Meesho’s presence in rapidly expanding sectors like fashion, home and kitchen, and beauty and personal care. Tapse viewed the valuation of approximately Rs 50,096 crore at the upper price range as reasonable compared to other similar technology companies listed in the market.
The IPO garnered an overall subscription of 81.76 times, reflecting robust demand from both institutional and non-institutional investors. The retail segment was oversubscribed by 19.89 times, while qualified institutional buyers, excluding anchor investors, subscribed 123.34 times. Non-institutional investors showed a subscription rate of 39.85 times.
Meesho’s public offering, a book-built IPO valued at Rs 5,421.20 crore, comprised 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 IPO commenced on December 3 and concluded on December 5, with share allotment finalized on December 8.
The price range for the IPO was set between Rs 105 and Rs 111 per share, with a lot size of 135 shares. Retail investors were required to invest a minimum of Rs 14,985 to apply at the upper end of the price band.