Shares of e-commerce firm Meesho are likely to have a positive debut on the stock exchanges on Wednesday as they are commanding a double-digit premium in the unofficial grey market. According to platforms tracking grey market premiums, Meesho’s shares are trading higher by 32-35% before their listing.
The SoftBank-backed firm’s Rs 5,421-crore initial public offering (IPO) generated massive interest from primary market investors as the issue was subscribed 79.02 times on the final day of bidding. The company raised a little over Rs 2,439 crore from anchor investors.
Meesho’s IPO was priced in the range of Rs 105–111 a share, valuing the company at Rs 50,096 crore at the upper end of the price band.
Most analysts had also given a buy rating to the issue, thus adding optimism around the issue. “Meesho’s focus on affordability and frequency creates a structural moat that is difficult for traditional e-commerce players to replicate. At 4.5x Price/Sales (Q2FY26 annualized & diluted), valuations look reasonable compared to other e-commerce players (average 7x P/S); Hence, we recommend investors to ‘Subscribe’ to the issue,” said Motilal Oswal Financial Services.
Narendra Solanki, Head of Fundamental Research – Investment Services at Anand Rathi Shares and Stock Brokers, said that Meesho’s profitability will depend on cost discipline and marketing efficiency. He advised investors who received allotments to book partial gains on listing and hold the remaining shares for the long term.