Google in talks to invest over $50 million in Meesho: Report

Google is in talks to invest over $50 million (Rs 373.63 crore) in Indian startup Meesho, which recently secured $570 million in a financing round, according to a report by Tech Crunch quoting sources.

The digital commerce platform already has backing from Facebook, B Capital, SoftBank, Sequoia Capital India, Y Combinator and Elevation Capital. Meesho connects suppliers (manufacturers and distributors) and resellers with customers on social media platforms such as WhatsApp, Facebook and Instagram. The resellers buy listed products from the suppliers and make commission on each transaction when they sell to customers.

Last month, Meesho raised about Rs 4,235 crore in funding, led by Fidelity Management & Research Company and B Capital Group, that has helped the company more than double its valuation to $4.9 billion in less than five months.

Earlier, the company said it 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 in just five months since the last round of funding.

The company intends to go deeper into India's underserved markets, becoming the preferred ecommerce destination for the next billion users in the country, it added.

According to the report, the startup, which like many other ecommerce firms was severely hit by the pandemic last year, has fully recovered and achieved an all-time peak growth in recent months.

Meesho’s recent fast-growth has been a topic of several serious discussions at Flipkart, India’s largest e-commerce firm, according to two people who work at the firm’s recently launched social commerce effort.

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