One of the top multichannel eyewear retailers in India, Lenskart, is preparing for a USD 1 billion (~INR 8,600 crore)IPO in Mumbai. Morgan Stanley and Kotak Mahindra Bank have reportedly been hired by the business as merchant bankers to supervise the process. Following in the footsteps of tech-driven titans like Swiggy, Zomato, and Paytm, the move signifies Lenskart’s intention to become one of India’s expanding number of publicly traded firms.
According to sources familiar with the matter, other banks may join the IPO process as considerations evolve. Lenskart is targeting a valuation of approximately USD 8 billion (~INR 69,260 crore), though final details regarding IPO size and valuation remain subject to change.
Lenskart’s Growth and Financial Performance
Founded in 2010, Lenskart has built a robust presence in India’s eyewear industry, leveraging an omnichannel approach combining online sales with a vast network of physical stores. The company boasts investments from heavyweight backers, including SoftBank Group, Abu Dhabi Investment Authority, KKR & Co., Temasek Holdings Pte, and PremjiInvest.
Lenskart pulled in INR 5,427 crore in revenue last year, but it still ended up with a INR 10 crore loss. This financial trajectory underscores the challenges and opportunities the company faces as it transitions to public markets.
Lenskart IPO Timing and Market Outlook
The Lenskart IPO aligns with a thriving primary market in India, where investor appetite for startup listings has been on the rise. Industry reports suggest that as many as 25 startups plan to go public in 2025, including Zepto, Infra.market, AI unicorn Fractal, and edtech firm PhysicsWallah, many targeting IPO sizes around USD 500 million.
Moreover, other startups such as Zetwek, SoftBank-backed OfBusiness, and fintech leader Pine Labs are eyeing IPOs with fundraising targets of USD 1 billion each. In 2024, the startup IPO landscape saw the successful listing of Ola Electric, Swiggy, and FirstCry, collectively raising over INR 29,000 crore (approximately USD 3.4 billion).
Strategic Preparations and Expansion Plans
Lenskart IPO efforts are further complemented by key leadership moves. The company recently appointed Abhishek Gupta, former CFO of Oyo, as its new Chief Financial Officer, a move likely aimed at strengthening its financial strategy ahead of the listing.
Beyond its IPO aspirations, Lenskart has also been expanding its manufacturing capabilities. In December 2024, it signed a Memorandum of Understanding (MoU) with the Telangana government to establish the world’s largest eyewear manufacturing facility, with an investment of INR 1,500 crore. This expansion highlights the company’s commitment to scaling operations and meeting growing demand in the eyewear sector.
Why the Lenskart IPO Matters
The goal of Lenskart IPO goes beyond only raising capital. It’s an indication that investors are confident in India’s startup industry. Will Lenskart’s IPO signify a sea change for India’s startup industry, given that tech-driven companies are still drawn to public markets? Investors are keen to learn more about that.
In addition to giving institutional and retail investors a share in one of India’s fastest-growing eyewear companies, a successful Lenskart IPO would increase the company’s market dominance. Additionally, it will pave the way for other consumer-focused firms to think about going public as a way to raise money and expand their businesses over the long run.
Conclusion
Lenskart is all set to launch a massive USD 1 billion IPO, bringing in heavyweights like Kotak Mahindra and Morgan Stanley. This move is a game-changer for India’s startup scene. While the company faces ongoing deliberations regarding valuation and IPO specifics, its public launch is anticipated to be a vital moment in the india’s changing capital markets. As more startups are planning to list in 2025, Investors and other industry participants will be eagerly following Lenskart’s voyage to the bourses.
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