What’s Happening?
Eyewear retailer Lenskart has recently secured a pre-IPO investment of Rs. 90 crore from billionaire investor Radhakishan Damani (founder of Avenue Supermarts Ltd, better known for the DMart chain).
At the same time, the company has obtained regulatory approval from SEBI (Securities and Exchange Board of India) for its upcoming IPO.
Together, these developments mark significant momentum in Lenskart’s push toward becoming a publicly-listed company.
Key Data & Figures
Here are the important numbers and facts investors and onlookers may want to keep in mind:
- The ₹90 crore investment by Radhakishan Damani comes ahead of the IPO, through a pre-IPO placement.
- Lenskart’s IPO is expected to include a fresh issue of around Rs. 2,150 crore.
- The total IPO (fresh + offer-for-sale) is being widely reported at around Rs. 8,000 crore scale.
- On the valuation front: Lenskart’s unlisted shares were trading at about ₹510 per share in the grey market, implying a valuation in the US$ 8–10 billion range.
- Timeline: SEBI has already given the nod, and the IPO is anticipated to open early November 2025.
Why Radhakishan Damani’s Investment Matters
- When a prominent investor like Radhakishan Damani backs a company ahead of its IPO, it sends a strong signal of confidence to other institutional and retail investors.
- It indicates that well-known, value-driven investor capital is willing to jump in — helping to build positive market sentiment.
- For Lenskart, this investment helps bolster credibility, especially as it transitions from being a privately held startup to a publicly listed business.
- As one report explicitly states:
“The planned investments by Damani and SBI MF indicate rising institutional … interest in Lenskart.”
What Lenskart Aims to Achieve With the IPO
Here are the strategic objectives that Lenskart appears to be targeting:
- Expand store network across India and overseas — the company currently operates over 2,000 stores in India and several hundred internationally.
- Invest in technology, manufacturing automation, and omnichannel capability (online + offline).
- Tap public funds to accelerate growth and scale — especially given its strong recent revenue growth.
For instance, in FY25, it reported ~₹6,652 crore in revenue (up ~22.6% YoY), according to one source.
Risks and Things to Watch
Even with strong tailwinds, there are several factors that investors and market observers should keep an eye on:
- Valuation concerns: While preliminary indicators suggest a multi-billion-dollar valuation, delivering future growth and margins will be critical.
- Competition & margin pressure: The eyewear retail market is evolving, and while Lenskart is a leader in India’s organized segment, external economic or supply chain shocks could affect profitability.
- Timing and market conditions: Broader market sentiment will play a major role — if markets turn volatile, it could affect subscription and pricing.
- Lock-in and shareholding structure: Post-IPO promoter and pre-IPO investor holdings may evolve; transparency around these will matter.
Outlook: What This Could Mean for Investors
- The involvement of a marquee investor ahead of IPO may lead to strong anchor commitments, potentially helping the book-building process.
- Retail investors watching this IPO may take the Rs. 90 crore pre-IPO investment as a bullish signal.
- For a company like this, which has built a strong offline + online model, listing could open up access to a broader investor base and enhance institutional liquidity.
- If executed well, Lenskart’s IPO could become one of the hallmark listings of 2025 in the Indian consumer/retail space.
Final Thoughts
Lenskart’s move to go public, backed by both regulatory approval and standout investor confidence (via Radhakishan Damani’s Rs. 90 crore investment), marks a significant milestone — not just for the company, but for India’s organised eyewear and consumer retail landscape.
For investors and market watchers, this is more than just a listing event — it’s a test of growth, execution, and market appetite for new-age consumer brands in India.
If you’re considering the IPO (or following it closely), keep tabs on:
- Final pricing
- Subscription numbers
- Anchor allocations
- Post-listing performance
These will ultimately tell the real story.
