Fidelity Investments has reduced its stake in e-commerce company Meesho by selling shares worth nearly ₹988 crore. The deal comes soon after the lock-in period for pre-IPO investors ended and has attracted attention from market participants.
The stake sale takes place at a time when Meesho is showing strong revenue growth, lower losses, and increasing investments in logistics, fintech, and artificial intelligence (AI) to improve its business performance.
Fidelity Cuts Stake in Meesho Through Bulk Deal
On June 10, two Fidelity-linked entities — FID FDI 2117 LLC and FID FDI 312 LLC — sold a total of 5.98 crore Meesho shares through bulk deals on the National Stock Exchange (NSE).
The shares were sold at prices between ₹165.18 and ₹165.21 each, taking the total transaction value to ₹988.15 crore. The sale represented around 1.31% of Meesho’s total shareholding.
The transaction came shortly after the six-month lock-in period for pre-IPO investors expired. Such sales are common after lock-in restrictions are lifted, as early investors often look to book profits or rebalance their portfolios.
The stock saw mixed movement following the deal. While some trading sessions witnessed selling pressure, others saw buying interest due to strong trading volumes. Despite this, Meesho shares have fallen around 13% over the past month and are also down compared to the start of the year.
Investors are now watching whether more early shareholders will sell their holdings in the coming months.
Revenue Growth Improves as Losses Continue to Fall
Meesho’s latest financial results show that the company is continuing to grow while gradually reducing its losses.
For FY26, the company reported revenue of ₹12,626.34 crore, a 34% increase compared to the previous year. During the same period, its net loss narrowed by nearly 66% to ₹1,357.73 crore.
The improvement was even more visible in the fourth quarter of FY26. Revenue jumped 47% year-on-year to ₹3,531 crore, while net loss dropped sharply to ₹166.3 crore from ₹1,391 crore a year earlier.
However, the company is not fully profitable yet. Its EBITDA loss increased to ₹255 crore in the quarter from ₹233 crore in the previous year. This suggests that higher operating and expansion-related expenses are still affecting profitability.
After its IPO in December 2025, Meesho also announced plans to invest heavily in brand building and customer acquisition. The company has set aside around ₹1,020 crore for marketing activities over FY27 and FY28.
Ahead of its stock market listing, Meesho also reorganised its business structure by separating its marketplace and grocery operations into different entities. The move was aimed at improving operational efficiency and business focus.
AI, Logistics and Fintech Become Key Growth Drivers
Meesho is focusing on technology and new business areas to strengthen its long-term growth story.
One of its key initiatives is Valmo, the company’s in-house logistics network. Meesho believes greater control over deliveries can help reduce costs, improve customer experience, and support profitability.
The company is also using artificial intelligence to improve product discovery. Its AI-powered recommendation system, called PRISM, now reportedly influences more than 75% of orders placed on the platform by helping customers find products more efficiently.
At the same time, Meesho is expanding its fintech business. The company recently approved a capital infusion of around ₹100 crore into its payments subsidiary, Meesho Payments Private Limited (MPPL). Earlier this year, Meesho acquired almost complete ownership of the payments unit to strengthen financial services for customers and sellers.
Although the payments business reported losses in FY26, the company sees it as an important part of its future growth strategy.
Brokerage firms remain divided on Meesho’s prospects. Some analysts believe the company can benefit from its large customer base, strong network of small businesses, and improving financial performance. Others remain cautious due to competition, possible selling by early investors, and execution challenges.
Meanwhile, Meesho continues to deal with regulatory and legal issues, including tax-related demands, consumer protection notices, and fraud cases involving sellers and third parties. The company says it is taking necessary steps to address these matters.
As Meesho moves further into its journey as a listed company, investors will closely monitor whether its strong revenue growth, AI-driven technology, logistics expansion, and fintech push can help it achieve sustainable profitability in the years ahead.