You are here: Home » Companies » News
Business Standard

Meesho becomes unicorn after SoftBank-led $300-million fundraise

Social commerce opportunity in India is pegged at $16-20 billion by 2025

Topics
Meesho | Facebook | Startup funding

Neha Alawadhi  |  New Delhi 

Vidit Aatrey ,co- founder of Meesho
Vidit Aatrey, Founder and CEO of Meesho

Social commerce platform became the latest start-up to enter the unicorn club after raising $300 million in a fresh funding round led by SoftBank Vision Fund 2, valuing the firm at $2.1 billion, it said on Monday.

The Bengaluru-based firm, the first Indian start-up invested an equity stake in, was last valued at $700 million when it raised funds from Facebook, Naspers and others in August 2019. The latest round, which more than doubled its valuation, also saw participation from existing investors Prosus Ventures, Facebook, Shunwei Capital, Venture Highway and Knollwood Investment. had in 2019 invested $25 million in the firm, which provides resellers, who largely comprise housewives and small businesses, with a platform to sell their products across social networks like WhatsApp and

will use the funds to strengthen its talent pool across verticals — technology, product, and business, among others.

“We take pride at the rate of speed and the scale at which has grown, positively impacting millions of lives, and creating exponential learning along the way,” said Vidit Aatrey, founder and CEO of Meesho. “With the new round of funding, we are extremely thrilled to have SoftBank on board. We are focused on expanding our vision — from helping aspiring women entrepreneurs to creating Meesho as a single ecosystem that will enable all small businesses in India to succeed online.” He added that the company’s “new vision” was to enable 100 million small businesses to start, succeed and lead their operations online with Meesho.

chart


Social commerce — or buying and selling directly through a social media platform such as Facebook, WhatsApp, Instagram or Twitter — is expected to grow significantly in the next few years. “Globally, SoftBank has always been excited to back founders that provide unique solutions for the local market. By using the power of AI and machine learning, Meesho has created a platform for many small business owners to sell to the next cohort of internet users. We look forward to being a part of this journey,” said Munish Varma, Managing Partner at SoftBank Investment Advisers.

Over the past six years, Meesho has enabled over 13 million individual entrepreneurs to start their own online businesses with zero investment, bringing the benefits of e-commerce to more than 45 million customers in the country.


Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Mon, April 05 2021. 13:33 IST
RECOMMENDED FOR YOU
.