Eyewear major Lenskart is gearing up for one of India’s most anticipated new-age IPOs with a INR 430 crore pre-IPO placement, anchored by DMart founder Radhakishan Damani and SBI Mutual Fund (MF). The development underscores growing institutional and high-net-worth investor confidence in India’s profitable consumer-internet space.
Lenskart Pre-IPO Placement Details
According to industry reports, both Damani and SBI MF are likely to invest around INR 100 crore each, primarily through secondary share purchases, while the total pre-IPO raise is expected to be INR 250–300 crore, possibly extending up to INR 430 crore as indicated in Lenskart’s Draft Red Herring Prospectus (DRHP).
The Securities and Exchange Board of India (SEBI) recently cleared Lenskart IPO proposal, paving the way for a fresh issue of INR 2,150 crore and an Offer for Sale (OFS) of approximately 13.2 crore shares by existing shareholders, including SoftBank, Temasek, Kedaara Capital, Alpha Wave, and others. Lenskart pre-IPO round will be carved out of the fresh issue component, helping the company strengthen its balance sheet before the listing.
Lenskart Pre-IPO Placement: Strategic Significance of the Investors
The participation of Radhakishan Damani, often hailed as India’s “retail oracle,” carries significant signal value. As the founder of Avenue Supermarts (DMart) and one of the country’s most respected value investors, Damani’s entry is viewed as a strategic endorsement of Lenskart’s business fundamentals and omnichannel retail model.
For SBI Mutual Fund, this marks a continued expansion into India’s digital-first consumer ecosystem, following its investment in Urban Company earlier this year. Such institutional participation indicates a broader trend: established investors seeking exposure to profitable, tech-led consumer businesses that have achieved scale and operational efficiency.
Financial Performance
Lenskart’s financials highlight a remarkable turnaround. In FY25, the company reported a net profit of INR 297.3 crore, reversing a INR 10 crore loss in FY24. Revenue surged 22–23% year-on-year to INR 6,652 crore, driven by both domestic and international growth. Gross margins improved by nearly 500 basis points to 69%, reflecting strong operational leverage across its integrated manufacturing and retail network.
More notably, 40% of Lenskart’s FY25 revenues came from international markets — including Japan, Australia, Taiwan, Thailand, and West Asia — showcasing the company’s successful expansion beyond India.
Lenskart IPO & Valuation Outlook
Lenskart IPO is expected to hit the markets by early November 2025, targeting a valuation between INR 70,000–75,000 crore (USD 8.5–9 billion). This represents a sharp markup from the USD 5 billion valuation during Temasek and Fidelity’s 2024 round. Fidelity’s April 2025 portfolio update valued Lenskart at USD 6.1 billion, a 22% increase over the previous year.
The public issue, estimated at INR 8,000 crore overall, will include both the fresh issue and secondary share sales by early backers. The company plans to deploy proceeds toward store expansion, technology upgrades, marketing initiatives, and potential acquisitions.
Expanding Global Footprint
Founded in 2010 by Peyush Bansal, Neha Bansal, Amit Chaudhary, and Sumeet Kapahi, Lenskart has evolved into a dominant omnichannel eyewear retailer, blending digital convenience with physical presence. As of FY25, the company operates over 2,700 outlets globally, including 900 stores in metro cities, 469 in tier I, 698 in tier II, and more than 650 overseas across Southeast Asia, the Middle East, and other regions like Japan and Australia.
The company’s recent innovations — such as AI-powered smart glasses through its investment in AjnaLens, and UPI integration in its upcoming “B camera” smart eyewear — further position it at the intersection of fashion, technology, and digital commerce.
Confidence and Signaling Power
Damani’s participation in Lenskart pre-IPO round is more than a financial transaction — it’s a vote of confidence in the long-term viability of India’s omnichannel retail sector. His involvement lends credibility and stability to the IPO, likely helping anchor valuation and attract wider institutional participation during the listing.
For the broader market, this investment is emblematic of a new phase in India’s startup ecosystem, where digital-first consumer brands are transitioning from growth to profitability, appealing to traditional value investors.
What Lies Ahead
With profitability achieved, marquee investors onboard, and strong international growth momentum, Lenskart is entering the public markets from a position of strength. The upcoming IPO will test investor appetite for consumer-tech listings after a series of successful debuts, including Urban Company’s 57% listing pop last month.
In summary: Lenskart pre-IPO raise from Radhakishan Damani and SBI Mutual Fund isn’t just capital infusion — it’s a strategic endorsement of a rare Indian success story that combines profitability, scale, and global ambition. As the company eyes a November debut at a potential USD 9 billion valuation, all eyes are on how India’s eyewear giant will perform when it finally meets the markets.
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