Hearing the buzz around the market, Lenskart’s IPO attracted substantial attention from retail investors, even amidst valuation uncertainties, with subscriptions reaching nearly 30 times. The IPO was available for subscription from October 31 to November 4, featuring a price band set between Rs 382 and Rs 402 per equity share, with a minimum investment requirement of Rs 14,874 and additional multiples thereafter.
As stated in the red herring prospectus (RHP), the Gurugram-based enterprise aims to generate Rs 2,150 crore through a fresh issuance and Rs 5,028 crore through an offer for sale (OFS), effectively placing the company’s valuation at roughly Rs 70,000 crore (approximately $8 billion).
Exchange data indicated that Lenskart’s IPO was oversubscribed by 28.26 times, with the retail segment at 7.53 times, Qualified Institutional Buyers (QIBs) (excluding anchors) at 40.35 times, and Non-Institutional Investors (NIIs) at 18.2 times, while the employee segment was subscribed 4.96 times.
In the grey market, Lenskart’s premium (GMP) stands at about Rs 58 per share, which is 14.4% above its issue price. During the initial public offering (IPO) process, the company led by Peyush Bansal secured Rs 3,268 crore from anchor investors.
Proceeds from the fresh issue are intended for various purposes, including the establishment of new Company-Owned Company-Operated (CoCo) stores, covering lease and rental costs, investing in technology and cloud infrastructure, enhancing brand marketing and promotions, and facilitating acquisitions alongside other corporate aims.
Lenskart’s IPO is projected to generate close to Rs 1,100 crore (around $125 million) in exit proceeds for its founders. Early investors such as Premji Invest and Schroders Capital may witness returns of as much as 17 times their initial investments.
On the financial side, Lenskart demonstrated a revenue increase of 22.6% year-on-year, reaching Rs 6,653 crore in FY25, up from Rs 5,428 crore in FY24. This shift propelled the firm from a loss of Rs 10 crore in FY24 to a net profit of Rs 297 crore in the last fiscal year. In Q1 FY26, the SoftBank-backed company recorded a profit of Rs 61 crore, a significant improvement from a loss of Rs 10.9 crore in Q1 FY25, with operating revenue climbing 25% year-on-year to Rs 1,894.4 crore.
