With over 10 Cr shares hitting the market, Meesho sees profit booking pull its stock near listing-day levels.
Stock Slides to Near-IPO Levels After Lock-In Ends
Meesho’s honeymoon with public markets just hit its first speed bump. Shares of the ecommerce firm fell 5% to INR 173.20 on the BSE, touching its lower price band, as the 30-day lock-in for anchor investors expired.
- 10.98 Cr shares became tradeable, opening the door for early investors to book profits.
- Another 10.98 Cr anchor shares will unlock on March 7, possibly triggering more volatility.
The timing isn’t surprising—investors love a quick flip when listings soar. Meesho had ended its first day at INR 170.20, and today’s slide brings it dangerously close to that baseline.
If the post-lock-in dip becomes a trend, will fresh investors stay bullish—or start looking for the exit?
From Blockbuster Listing to First Market Jitters
Meesho’s IPO was nothing short of a blockbuster.
- The public issue was subscribed 79 times, signaling strong retail and institutional interest.
- Listed on December 10 at INR 161.20, a 45% pop from the INR 111 issue price.
- Peaked at INR 254.65, marking a 130% jump from IPO price.
But early gains don’t always last, especially when pre-IPO investors smell exit opportunities. Among the biggest sellers:
- Y Combinator offloaded 71.9 Lakh shares, clocking 108X return.
- Elevation Capital made 37X on its investment.
The Offer For Sale (OFS) component saw cofounders Vidit Aatrey and Sanjeev Kumar, along with big VC names like Peak XV, Venture Highway, and Y Combinator, trim their stakes.
Fundamentals: Revenue Grows, Losses Narrow
While the market jitters are real, Meesho’s financials are trending in the right direction.
- Net loss fell 72.1% YoY to INR 701 Cr in H1 FY26, down from INR 2,513 Cr.
- Operating revenue jumped 29% YoY, reaching INR 5,578 Cr in the same period.
That’s caught the attention of analysts. UBS initiated coverage with a ‘Buy’ rating and a price target of INR 220, suggesting long-term optimism still holds.
But will numbers alone be enough to stabilize sentiment in the face of another anchor unlock?
Looking Ahead: More Supply, More Pressure?
The real test may come in March, when the second batch of anchor shares unlocks. If more early investors exit, Meesho may need a strong Q3 performance or guidance boost to regain momentum.
This moment marks a critical phase for the company’s public market credibility. Does Meesho remain a growth stock with strong fundamentals—or just another inflated listing catching up with gravity?
TL;DR:
Meesho shares dropped 5% after 10.98 Cr anchor shares became tradeable, pushing prices near listing-day levels. The IPO star has strong financials and bullish analyst coverage, but more supply could trigger fresh volatility ahead.
