SoftBank Looks to Offload 1.5% Meesho Stake at Discount
What Happened
SoftBank Vision Fund entity SVF II Meerkat plans to sell around 70 million Meesho shares, representing 1.5% of the company's equity, through a block deal. The shares are being offered at a floor price of ₹205 apiece, about 3.1% below Meesho's September 2 closing price of ₹211.60, valuing the sale at approximately ₹1,435 crore. Books are expected to close early on September 3.
Key Takeaways
The transaction appears to be a stake monetisation by an early investor rather than a fundraising exercise by Meesho, as it is a 100% secondary sale. While such large block deals can create short-term pressure on a stock due to increased supply, strong investor demand could help absorb the shares smoothly and signal continued confidence in Meesho's growth prospects.