Meesho IPO Turns Early Investors Into Mega Winners, Founders Clock Returns As High As 5,00,000%

Last Updated:November 28, 2025, 1:42 PM IST

Early investors in Meesho are set for blockbuster exits through the company’s IPO offer-for-sale (OFS), with paper gains running into hundreds of crores

Early investors in Meesho are set for blockbuster exits through the company’s IPO offer-for-sale (OFS), with paper gains running into hundreds of crores at the issue price of Rs 111 per share. Shareholders, including Elevation Capital, Peak XV Partners and Y Combinator, are collectively selling 10.38 crore shares.

Based on disclosures in the red herring prospectus, the combined profit of the selling shareholders on these shares works out to over Rs 1,020 crore, against an initial investment of about Rs 131 crore. Put differently, every Rs 100 invested has ballooned to nearly Rs 877 at current IPO pricing.

Elevation And Peak XV Lead Mega Exits

Elevation Capital V is the largest seller in the OFS, placing 2.44 crore shares on offer. Its weighted average acquisition cost is just Rs 3.04 per share. At the IPO price of Rs 111, Elevation is set to earn about Rs 107.96 per share, translating into Rs 263.9 crore in gains on this tranche alone. This implies a 36x money multiple and returns of nearly 3,550%.

Peak XV Partners Investments V is the second-largest beneficiary, selling up to 1.74 crore shares acquired at a weighted average cost of Rs 4.29 per share. At Rs 111, the profit works out to Rs 106.71 per share, resulting in total gains of roughly Rs 185.5 crore. This translates into a 26x multiple and returns of about 2,490%.

Founders Lock In Life-Changing Liquidity

The co-founders are also monetising a small part of their holdings at extraordinary returns that are rarely seen in public markets.

Co-founder and CEO Vidit Aatrey is selling 1.6 crore shares acquired at an average cost of just Rs 0.06 per share. At the IPO price, the implied profit is Rs 110.94 per share, translating into gains of about Rs 177.5 crore on this block alone. This represents a staggering 1,850x multiple and returns of nearly 1,84,900%.

Co-founder Sanjeev Kumar is also selling 1.6 crore shares, but at a weighted average cost of just Rs 0.02 per share. At Rs 111, his profit per share is about Rs 110.98, implying total gains of roughly Rs 177.6 crore. This works out to a monumental 5,500x multiple and returns of around 5,54,900% on this portion of his stake.

Early Seed Backers Cash In

Among Meesho’s earliest institutional investors, Venture Highway Series 1 is selling 86.36 lakh shares, bought at an average cost of Rs 46.81 per share. Even at this relatively higher entry price, it stands to earn Rs 64.19 per share, or about Rs 55.5 crore in total gains—implying a 2.4x multiple and returns of nearly 137%.

Golden Summit, which entered at Rs 92.43 per share, is offering 79.62 lakh shares. At the IPO price, it will pocket about Rs 18.57 per share, translating into gains of around Rs 14.8 crore. This represents a 1.2x multiple and roughly 20% return.

Y Combinator Continuity Holdings I is selling 71.95 lakh shares acquired at an average cost of Rs 1.02 per share. At Rs 111, it stands to make Rs 109.98 per share, amounting to total gains of about Rs 79.1 crore. This implies a money multiple of nearly 109x and returns of about 10,800%.

All calculations are based on the weighted average costs and OFS sizes disclosed in the offer documents.

Marketplace for value shoppers, windfall for early believers

Bengaluru-based Meesho operates a multi-sided e-commerce marketplace focused on India’s value-conscious consumers. It connects buyers, sellers, logistics partners and content creators, and has emerged as India’s largest e-commerce platform by orders and annual transacting users for the 12 months ended June 30.

Unlike traditional marketplaces, Meesho follows a zero-commission model, generating revenue primarily through logistics, fulfilment, advertising and data tools sold to sellers. Its “everyday low prices” strategy has driven rapid adoption across Tier-2, Tier-3 and smaller towns, where demand is dominated by low-ticket, high-frequency purchases.

The IPO will raise fresh funds for investments in cloud infrastructure, AI and machine-learning talent, marketing and brand building, as well as inorganic growth through acquisitions. The OFS, meanwhile, unlocks liquidity for founders and early investors who backed Meesho long before it scaled into a national e-commerce powerhouse.

Aparna Deb

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More

Read More