Meesho Share Price Hit 5% Lower Circuit as One Month Shareholder Lock-in Period Expires

The stock slipped to ₹173.13, extending losses for a second consecutive session and trading close to its listing price of ₹162.50.

Meesho's One-month Lock-in Period Expires

With the lock-in period ending, around 10.99 crore shares, or nearly 2% of Meesho’s total equity, became eligible for trading. Based on the previous closing price, these shares are valued at approximately ₹2,003 crore. While not all of these shares are expected to be sold immediately, the expanded supply has added near-term pressure on the stock.

Strong Market Debut Followed by Correction

Meesho had listed on December 10 at ₹162.50, a 46% premium over its IPO price of ₹111. The stock rallied sharply post-listing, hitting an all-time high of ₹254.40 on December 18. However, the momentum faded thereafter, with the stock now down 32% from its peak, though it remains about 32% above its listing price.

IPO Demand and Market Capitalisation

The company’s ₹5,421-crore IPO had received an overwhelming response, getting subscribed 79 times. Despite the recent correction, Meesho continues to command a market capitalisation of around ₹78,136 crore.

Operational Efficiency Shows Improvement

There are significant gains in Meesho’s operating metrics. The company reduced its cost per order from ₹55 in FY23 to ₹46 in FY25. This improvement was driven by the rollout of its logistics platform Valmo, higher delivery density, and a sharp reduction in cash-on-delivery orders to about 61% in the first half of FY26.

Meesho IPO Details

Meesho’s public issue, sized at over ₹5,000 crore, witnessed overwhelming investor interest, garnering an overall subscription of 79 times. Demand was particularly strong from institutional investors, with the qualified institutional buyers’ portion subscribed 120 times, while the retail segment saw bids exceeding 19 times the shares on offer.

The IPO was priced in the range of ₹105 to ₹111 per share, with each lot comprising 134 shares. Through the issue, Meesho mobilised ₹5,421.20 crore, which included a fresh equity issuance of 38.28 crore shares amounting to ₹4,250 crore, along with an offer-for-sale of up to 10.55 crore shares by existing shareholders.

Meesho Share Price Hits 5% Lower Circuit on Wednesday

As the one-month post-listing lock-in period ended on January 7, shares of e-commerce company Meesho reached the lower circuit, falling 5%. The stock fell to ₹173.13, which was close to its listing price of ₹162.50 and was its second consecutive losing session.