Meesho raises $570 million from Fidelity, B Capital, others at $4.9 billion valuation

• ByAyushi Ray     |    September 30, 2021

Meesho raises $570 million from Fidelity, B Capital, others at $4.9 billion valuation. While existing investors Prosus Ventures, SoftBank Vision Fund 2 and Facebook also participated in this round, other new investors include Footpath Ventures, Trifecta Capital and Good Capital among others. No investor sold their stake in this round. Meesho runs a three-sided marketplace with suppliers, resellers and the customer, where the reseller buys goods such as unbranded fashion items from the supplier and sells it via platforms such as WhatsApp and Instagram. While Meesho started out this way, its share of direct sales has also been going up, pitting it directly against incumbents Flipkart and Amazon.

The new funding round comes months after Meesho raised $300 million led by SoftBank Vision Fund 2, valuing it at $2.1 billion. Meesho said since the last round of funding, its order volume grew 2.5 times and it has also added new product categories such as sports and fitness, pet supplies and automotive accessories. “We just have grown very fast and the business has grown very fast. There was a lot of inbound interest from investors and the market environment is also great in terms of capital,” Vidit Aatrey, co-founder and CEO, said.

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