Meesho, the Indian social commerce startup, has received the green light from the National Company Law Tribunal (NCLT) to shift its headquarters from Delaware, USA, back to India, regulatory filings confirmed. This move is seen as a significant step toward its planned Initial Public Offering (IPO).
With National Company Law Tribunal (NCLT) approving the demerger from its US entity, Meesho will now merge with its Indian counterpart to complete the redomiciling process.
“In view of the above discussion, we conclude that the objections/observations to the scheme received from (the Registrar of Companies/Regional Director) RoC/RD and Income Tax Department have been adequately explained by the petitioner (Meesho) companies and hence there is no impediment in approval of the scheme,”
— the filing, reviewed by a news agency, stated.
Initially, when Meesho was accepted into Y Combinator in 2017, the startup had to be headquartered overseas to attract global investors. However, with the changing investment ecosystem and regulatory ease, many startups like Meesho are choosing to return.
“With the majority of our operations, including customers, sellers, creators and Valmo partners already based here, this step aligns our corporate structure with our day-to-day business footprint,”
— a Meesho spokesperson told a news agency.
Meesho, which began the redomiciling process in 2024, is expected to file its Draft Red Herring Prospectus (DRHP) with SEBI within the next few weeks and go public around Diwali. The company reportedly aims to raise up to $1 billion at a $10 billion valuation.
By making this strategic move, Meesho becomes part of a growing trend among Indian startups like Razorpay, PhonePe, Zepto, and Groww — all of which have recently returned their base to India after starting out overseas.
Meesho is a prominent Indian e-commerce company that has carved a unique niche by empowering small businesses and individual entrepreneurs through a social commerce model. Its journey reflects the evolving landscape of online retail in India, particularly its focus on reaching customers in Tier 2, 3, and 4 cities and enabling micro-entrepreneurship.
Founding (December 2015): Meesho was founded in December 2015 by IIT Delhi graduates Vidit Aatrey and Sanjeev Barnwal. Initially, the company was registered as Fashnear Technologies Private Limited.
The First Idea (Fashnear): Their initial venture was a hyperlocal, on-demand fashion marketplace, often described as a "Swiggy for fashion." This startup, however, did not find significant traction and ultimately failed.
Key Insight & Pivot: During their efforts with Fashnear, Aatrey and Barnwal observed a crucial trend: numerous small businesses were selling products online, not through their own websites or large platforms like Amazon or Flipkart, but by leveraging social media channels like WhatsApp and Facebook. This insight sparked the idea for Meesho.
Re-establishment as Meesho (2016): In 2016, the founders re-established the platform as Meesho (a portmanteau of "meri shop," meaning "my shop" in Hindi). The new model was designed to enable country-wide shipping for resellers, empowering them to sell products curated from a marketplace through their social networks.
Early Recognition: Meesho was one of the three Indian companies selected for the prestigious Y Combinator accelerator program in 2016. It was also part of the first batch of Google Launchpad – Solve for India program.
Reseller-Centric Model: Meesho's core business model revolved around enabling individuals, primarily women from smaller towns (often homemakers), to become online resellers. These resellers would choose products from Meesho's catalog, add their margin, and sell them within their social circles via WhatsApp, Facebook, Instagram, etc. Meesho handled logistics and payments, simplifying the process for resellers who needed no upfront investment.
Initial Funding Rounds:
Seed Round (August 2016): Raised an undisclosed seed round from Indian angel investors.
Series A (October 2017): Raised $3.1 million led by SAIF Partners (now Elevation Capital).
Series B (June 2018): Raised $11.5 million led by Sequoia India (now Peak XV Partners).
Series C (November 2018): Raised $50 million from Shunwei Capital, DST Partners, RPS Ventures, and existing investors.
Facebook Investment (June 2019): Meesho became the first Indian startup to receive direct investment from Facebook (now Meta), a testament to its innovative social commerce model. This was part of its Series D round, which saw a total raise of $125 million led by Naspers.
Hyper-growth and Unicorn Status (2021): Meesho experienced explosive growth, particularly during the pandemic, as digital adoption surged in India.
Series E (April 2021): Raised $300 million led by SoftBank Vision Fund 2, valuing the company at $2.1 billion, making it a unicorn.
Series F (September 2021): Raised another $570 million, valuing it at $4.9 billion.
Evolution of Business Model (Zero Commission): In 2022, Meesho made a significant strategic shift by moving to a zero-commission model for sellers on its platform. This disrupted the traditional e-commerce commission structure and aimed to attract a wider base of small and medium enterprises (SMEs) and manufacturers, empowering them to sell directly to consumers at competitive prices. This shift diversified Meesho's revenue streams, moving towards monetization through advertising, logistics services, and financial products for sellers.
Focus on Affordability and Direct Selling: This shift positioned Meesho as a direct competitor to traditional e-commerce giants like Amazon and Flipkart, particularly in the value-for-money segment targeting non-metro cities. The platform now directly connects buyers and sellers, simplifying the supply chain.
Meesho Mall (2022): Introduced a dedicated section for branded products, allowing national and regional brands to sell directly to consumers, further expanding its offerings.
Logistics Arm (Valmo - 2024): Launched Valmo, its own logistics marketplace, in 2024. This move aimed to improve delivery efficiency, reduce costs, and enhance the overall seller and buyer experience.
Recent Funding & Valuation Adjustment (2024-2025):
In April 2024, Meesho secured $270 million in a new funding round.
In January 2025, Meesho closed another funding round of $250 million.
While these rounds brought total funding to over $1.6 billion, the company's valuation was adjusted to approximately $3.9-4 billion, a decrease from its 2021 peak, reflecting broader market corrections and the intense competitive landscape.
Strategic Domicile Shift & IPO Plans: Meesho is undertaking a reverse merger to shift its domicile from the United States back to India, a key step towards its planned Initial Public Offering (IPO) on Indian stock exchanges. The company aims to file its draft red herring prospectus (DRHP) with SEBI in the latter half of 2025 and targets listing by 2026, subject to regulatory approvals.
Meesho's history is a compelling narrative of adaptation, innovation, and a deep understanding of the Indian consumer market, particularly its vast unorganized retail sector and the aspirations of micro-entrepreneurs. It continues to be a significant player in democratizing e-commerce in India.
The NCLT's approval of Meesho’s plan to flip its base from the US to India marks a pivotal milestone in the company’s path to going public. The redomiciling move is more than a legal formality — it aligns with Meesho’s operational footprint, with most of its customers, sellers, and partners already based in India.
This strategic transition not only paves the way for Meesho’s anticipated IPO around Diwali 2025 but also strengthens its position in the Indian startup ecosystem. The planned listing aims to raise up to $1 billion, pushing Meesho’s valuation to $10 billion. As the company prepares to file its DRHP with SEBI, it joins a growing list of Indian startups like Razorpay, PhonePe, and Groww that have also relocated back to India.
This trend reflects a broader shift in the startup landscape, where global ambitions are increasingly being pursued from Indian soil. Meesho’s journey could become a blueprint for future unicorns.