As it gears up for its upcoming IPO, ecommerce major Meesho has rejigged its board, with only two of its four top institutional investors retaining a seat on the board.

The board of Meesho’s India entity, Meesho Pvt Ltd, comprises eight members, sources told Inc42.

The board is chaired by cofounder Vidit Aatrey, who serves as MD and CEO of the ecommerce major. Cofounder Sanjeev Barnwal, who serves as the CTO of Meesho, is a whole-time director on its board.

Two of Meesho’s largest institutional investors Peak XV Partners and Elevation Capital serve on the board as non-executive and non-independent directors. While Peak XV will be represented by MD Mohit Bhatnagar, co-managing partner Mukul Arora will be Elevation Capital’s representative on the board.

Before the reverse flip and its merger into the Indian entity, Meesho’s US entity, Meesho Inc., four institutional shareholders- Elevation Capital, Peak XV Partners, SoftBank, and Prosus Ventures were on its board.

However, SoftBank and Prosus Ventures have relinquished their board seats under the new structure.

Rohit Bhagat (former chairman for Asia Pacific at BlackRock), Surojit Chatterjee (founder and chief executive of generative AI firm Ema), Hari Shanker Bhartia (founder and co-chairman of Jubilant Bhartia group), and Kimsuka Narasimhan (former Pepsico and Kimberly Clark (Asia) executive) are the independent directors on Meesho’s board, bringing significant expertise in finance, corporate governance, and strategic leadership, the sources added.

While Bhagat, Chatterjee, and Bhartia previously served as independent directors on the board of Meesho Inc., Narasimhan has replaced former JPMorgan South and Southeast Asia chairperson Kalpana Morparia for the fourth independent director seat.

Inc42 has reached out to Meesho with questions about the changes on its board. The story will be updated on receiving a response.

The development was first reported by Moneycontrol.

The changes to the board, as in the case of Meesho, are common for companies preparing to go public.

Besides, SEBI regulations mandate that the board of companies eyeing IPOs in India should have at least one-third of their board comprise independent directors if the chairperson is a non-executive director and not a promoter or related to the promoter.

If the chairperson is an executive director or a promoter, at least half the board must be independent.

Independent directors, being unaffiliated with either the management or major shareholders, enhance credibility among public investors by ensuring transparency, robust oversight, and sound governance.

The rejig of the board is part of Meesho’s preparations for its IPO. The company is said to be looking to file its DRHP via the confidential route in the next few weeks for a $700 Mn to $800 Mn public issue. Meesho has roped in Citigroup, Kotak Mahindra Capital and Morgan Stanley as investment bankers to helm its IPO.

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