E-commerce company Meesho has closed a $275 million funding round through a mix of primary and secondary share sales. The filing with the US Securities and Exchange Commission (SEC) showed share transfer at Meesho’s US parent firm without offering further details.

This comes at a time when there are reports about Meesho being in talks for at least a $200 million secondary funding at a valuation of $3.5-3.9 billion. However, there has been an increase in the size of the overall round with a primary component being added, according to sources familiar with the matter.

In total, Meesho has raised $1.36 billion — including secondaries — since 2015 and counts DST Partners, Elevation Capital, Facebook and Prosus among its investors.

Meanwhile, Meesho is actively engaged in discussions to reverse-flip its US parent company, a move linked to its plans for an IPO in India. However, the company has not finalised its plans yet.

Recently, Meesho announced an employee stock option (ESOP) buyback programme worth ₹200 crore. The announcement comes months after Meesho turned profitable in July 2023. While its profit after tax (PAT) has been in the single digits, the company says it has been profitable since then and is cash flow positive.

Meesho’s revenue from operations grew to ₹5,735 crore in FY23 from ₹3,232 crore in FY22. Its losses halved from ₹3,251 crore in FY22 to ₹1,675 crore in FY23. To be sure, Meesho is yet to file its final results with the Ministry of Corporate.

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