LAST UPDATED: April 5, 2021, 2:05 p.m.
New Delhi (Anish Yande): Social commerce startup Meesho has raised $300 million in a fresh funding round of SoftBank Vision Fund 2. The valuation of the startup has risen to $2.1 billion which has made Meesho India’s newest unicorn.
The company had originally raised a valuation of $125 million in 2019. In 2019, the social commerce startup was valued at $700 million.
Meesho raises $300 million in a fresh funding round:
The company’s existing investors Facebook, Shunwei Capital, Knollwood Investment, Prosus Ventures, and Venture Highway participated in the funding round.
Meesho is a social commerce startup that assists small businesses and individuals to become sellers on digital social platforms. The startup was founded by Sanjeev Barnwal and Vidit Aatrey in December 2015. The businesses and individuals can market their products on Facebook, WhatsApp, and Instagram.
The startup is aiming to provide resources for 100 million small businesses for the digitization of their business. Meesho has stated that it has a customer base of 45 million customers in India and has provided resources for 13 million businessmen. Social commerce startup has more than 65,000 suppliers which sell five million products.
Meesho claims that entrepreneurs using its platform have raised Rs 500 crores. Meesho would be utilizing the funds to expand its team in operations in segments such as business, technology, and product.
Meesho enters the unicorn startup club:
Meesho is the fourth Indian startup in 2021 to enter the unicorn startup club. Firms such as Infra.Market, Innovaccer, Five Star Business Finance and Digit has entered the unicorn club. Social commerce startup Meesho faces competition from Glowroad, Shop101, Dealshare, and Kiko TV.
Sumer Juneja, partner at SoftBank Investment Advisers, stated that SoftBank had been closely monitoring Meesho for the past 18 months. The investment firm has reportedly been impressed by Meesho’s daily engagement metrics, growth, and ability to create a strong team.
‘We believe Meesho provides an efficient platform for SME suppliers and social resellers to onboard the e-commerce revolution in India and help them provide a personalized experience to consumers.’ Juneja stated.
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