- Strategic redomiciliation for IPO readiness
- Meesho, the social-commerce unicorn founded in 2015 by Vidit Aatrey and Sanjeev Barnwal, is shifting its corporate domicile from Delaware back to India. This move received approval from the NCLT Bengaluru bench via a “reverse flip”—demerging its Indian entity from the U.S. parent
- A hefty tax as the price of homecoming
- As part of the redomiciliation, Meesho is obligated to pay approximately $288 million (around ₹2,460 crore) to the U.S. government—the second-largest tax payout by an Indian startup after PhonePe
- IPO ambitions set for the festive season
- The company aims for an IPO around Diwali 2025, targeting a $1 billion raise and valuation near $10 billion in Indian markets
- A growing trend of reverse flips
- Meesho joins other major Indian startups like:
- PhonePe – paid $1 billion,
- Groww – $160 million,
- Razorpay – ~$150 million
These moves reflect a larger shift toward embedding major startups within India’s regulatory and capital ecosystem
- Meesho joins other major Indian startups like:
- Funding structure behind the move
- Earlier this year, Meesho raised $550–600 million. Roughly half of it—about $300 million—will go toward the tax bill, funded by primary capital from investors like Tiger Global and SoftBank. The remaining funds came from secondary share sales
- Why this matters for India’s startup ecosystem
- Redomiciling enables Meesho to comply with domestic listing regulations and align governance with India’s markets.
- It underscores confidence in the country’s stock markets, policy stability, and investor base.
- Highlights a maturing startup ecosystem where founders can balance global ambitions with local-rooted structures
- Connecting back with Bharat
- Meesho’s business model—empowering resellers in Tier 2/3 and rural India—reinforces its commitment to Indian consumers.
- Shifting headquarters home strengthens its identity as a brand built in India and for India.
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Meesho’s IPO Journey Begins with a $288M Tax Bill
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