Lenskart Files DRHP for IPO

Mumbai, 29 July 2025: Lenskart Solutions Limited, a prominent player in India’s eyewear retail sector, has filed its Draft Red Herring Prospectus (DRHP) with SEBI for a proposed Initial Public Offering (IPO). The public issue will comprise a fresh issue of equity shares worth ₹2,150 crore, alongside an Offer for Sale (OFS) of up to 13.23 crore shares by existing promoters and key investors.

₹2,150 Cr Fresh Issue Planned Alongside Large Promoter and Investor Exit

Lenskart’s IPO structure includes two components:

• Fresh Issue: ₹2,150 crore
• Offer for Sale (OFS): 13,22,88,941 equity shares

The OFS will see significant offloading by both promoters and institutional investors. Among the prominent selling shareholders:

• Promoters:
  • Peyush Bansal: 2.05 crore shares
  • Neha Bansal: 57.36 lakh shares
  • Amit Chaudhary and Sumeet Kapahi: 28.68 lakh shares each
• Major Investors:
  • SVF II Lightbulb: 2.55 crore shares
  • Other sellers include Schroders Capital, PI Opportunities Fund-II, Alpha Wave Ventures, and Kedaara Capital

IPO Filed Under SEBI’s Regulation 6(2) Due to Profitability Norms

The IPO is being filed under Regulation 6(2) of SEBI’s ICDR Regulations as Lenskart does not meet the profitability criteria set out in Regulation 6(1)(b). The proposed listing is intended on both BSE and NSE, though the designated stock exchange has not yet been confirmed.

Funds to Support Store Expansion, Branding, and Tech Infrastructure

According to the DRHP, Lenskart plans to allocate the fresh issue proceeds towards key strategic areas:

• ₹591.4 crore for lease payments on company-owned stores
• ₹272.6 crore for capital expenditure to establish new CoCo stores
• ₹213.4 crore for technology and cloud infrastructure
• ₹320.1 crore for branding and promotional activities
• Remaining funds will be used for inorganic acquisitions and general corporate purposes

FY25 Financials Mark a Turnaround with ₹297.3 Cr Profit on ₹6,652.5 Cr Revenue

For the year ended 31 March 2025, the company reported a strong financial performance with revenue from operations rising to ₹66,525.17 million, compared to ₹54,277.03 million in FY24 and ₹37,880.28 million in FY23. Total income stood at ₹70,092.76 million, up from ₹56,098.72 million in FY24. Total expenses increased to ₹66,194.78 million, primarily driven by higher raw material costs, employee benefits, and other expenses.

Despite cost pressures, restated profit before tax surged to ₹3,853.56 million versus ₹590.31 million in FY24. Net profit for the year reached ₹2,973.40 million, a significant turnaround from a loss of ₹101.54 million in FY24 and ₹637.57 million in FY23.

However, foreign exchange differences impacted other comprehensive income, resulting in a loss of ₹173.44 million for FY25.

Omnichannel Strategy and Global Expansion Drive Market Reach

Founded in 2008 by Peyush Bansal, Lenskart has established itself as a leader in India’s organised eyewear retail sector. The company operates over 2,700 stores globally, with 2,067 

outlets in India, and has built a robust omnichannel model integrating physical and digital retail.

Its international presence includes key Asian markets such as Singapore, Japan, and the Middle East, bolstered by acquisitions like Owndays (Japan) and Dealskart (India). The company markets products under brands including Lenskart, John Jacobs, and Vincent Chase.

Regulatory Scrutiny and ED Inquiry Acknowledged in DRHP

The DRHP also outlines ongoing regulatory matters, including a notice from the Directorate of Enforcement (ED) related to FEMA compliance. Lenskart has responded to the inquiry and stated that it is fully cooperating with authorities.

Top Investment Banks Appointed as Lead Managers for IPO

The IPO is being managed by a consortium of well-established investment banks, including:

• Kotak Mahindra Capital
• Morgan Stanley India
• Avendus Capital
• Citigroup Global Markets India
• Axis Capital
• Intensive Fiscal Services

Lenskart Positions Itself for Long-Term Growth with Strong Investor Backing

Lenskart’s vertically integrated model spans design, manufacturing, and retail of prescription eyewear, sunglasses, and contact lenses. With manufacturing facilities in India and Southeast Asia, the company has used technology to create a seamless hybrid retail experience.

It is backed by major investors such as SoftBank, Alpha Wave Ventures, and Kedaara Capital, and plans to list its equity shares on both BSE and NSE following the IPO.

REF: https://nsearchives.nseindia.com/corporate/Registration_29072025101510_DRHP.pdf

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