Internet commerce platform Meesho on Thursday, September 30 announced its latest round of funding of $570 million led by Fidelity Management & Research Company and B Capital Group. Existing investors Prosus Ventures, SoftBank Vision Fund 2 and Facebook also participated in this round. Other new investors include Footpath Ventures, Trifecta Capital, Good Capital and others. Following the raise, the company’s valuation has more than doubled to $4.9 billion in less than five months.
In just five months since the last round of funding, the Bengaluru-based company said it has recorded 2.5x growth in order volume and added a range of new product categories to its roster, including sports and fitness, pet supplies, and automotive accessories.
With an aim to reach 100 million monthly transacting users by December 2022, Meesho expects to utilise the fresh round of funding to grow its technology and product talent by 2.5x, increase its roster to 50+ million products, and become the platform of choice for customers, entrepreneurs and sellers. Meesho is also looking to expand its groceries and FMCG offerings with Farmiso (Meesho Grocery), its community group buying business, to 200+ cities.
Vidit Aatrey, founder & CEO, Meesho said, “We’ve always focused our efforts on enabling entrepreneurs from Tier 2+ markets to expand their business and in turn uplift small economic pockets in the country. The new round brings us a step closer to realising our mission to democratise internet commerce for all, increase regional participation in the digital economy, and add momentum to local businesses.”
The company said it is invested in providing entrepreneurs and consumers equity in e-commerce by reducing entry barriers, improving logistical infrastructure for Tier 2+ markets and fuelling discoverability of hyperlocal businesses and products. “With industry-first initiatives like 0% commission, sellers can now earn better profit margins and grow their business, while providing individual entrepreneurs and consumers access to locally sourced products at lowest prices,” the company said in a statement.