Lenskart IPO: An Overview
Lenskart Solutions Ltd. is set to launch its initial public offering (IPO) worth Rs 7,278 crore on October 31. The IPO will be open for bidding between October 31 and November 2, with a price band of Rs 382 to Rs 402 per share. The minimum bid size is 37 shares per lot, requiring an investment of Rs 14,874.
The portion for retail investors in the IPO is capped at 10% of the issue. The IPO allotment will be tentatively finalized on November 6, and shares will be credited into the demat accounts by November 7. Lenskart Solutions will list on the NSE and BSE on November 10.
Valuation and Financial Performance
The IPO has been in focus for quite some time, with DMart’s Radhakishan Damani having already invested Rs 90 crore ahead of the issue opening. On the upper price band, Lenskart Solutions is valued at nearly Rs 70,000 crore. Peyush Bansal, the co-founder and chief executive officer, has been facing flak over the high valuation.
The company’s valuation metrics suggest a high premium, which is its price-to-earnings or P/E ratio. This is projected at 236.5 times for financial year 2025 and a massive 202.1 times for financial year 2026. This has received ridicule on social media with many questioning the high valuation.
In response to NDTV Profit’s question about Lenskart’s valuation being significantly higher than that of its global peers on metrics such as price-to-earnings and price-to-Ebitda, Bansal said he does not view determining valuation as part of an entrepreneur’s role. Instead, he emphasized that his responsibility lies in ensuring that customers receive the best-quality spectacles at the lowest possible price.
For more information on IPO valuation, check out our detailed guide. Additionally, you can learn more about price-to-earnings ratio and its significance in stock market investing.
Risks and Challenges
Lenskart has ongoing criminal, tax, regulatory, and civil proceedings involving the company, its promoters, and directors, which may result in penalties or liabilities. FIRs have been filed against Lenskart’s CEO Peyush Bansal, Neha Bansal, and senior personnel relating to franchise disputes, and these cases are still pending.
The company handles sensitive customer information, such as eye-test and optometry records; any data leak or breach could affect its reputation and operations. It operates in multiple countries and must follow anti-bribery, anti-corruption, and sanctions laws; violations can lead to fines or restrictions.
Lenskart relies heavily on third-party cloud and technology service providers; any outages or disruptions could impact business operations. The company spends significantly on marketing and customer acquisition; lower retention or ineffective marketing can affect profitability.
To learn more about the risks associated with investing in IPOs, check out our comprehensive guide. You can also find information on stock market risk management strategies.
Financial Performance and Growth
Lenskart reported revenue from operations of Rs 6,652 crore in FY25, compared with Rs 5,428 crore in FY24 and Rs 3,788 crore in FY23. This translates to a 23% year-on-year increase in FY25 and 43% growth the year before.
The company turned profitable in FY25, posting a net profit of Rs 297.3 crore, compared with a loss of Rs 10.15 crore in FY24 and a loss of Rs 63.75 crore in FY23. As of June 30, 2025, Lenskart’s in-house design and merchandising team consists of 109 members, creating products across price points and age groups.
The company launched 42 new collections in the quarter ended June 30, 2025, and 105 new collections in FY2025, including collaborations with popular brands and celebrities. For more information on financial performance analysis, check out our detailed guide.
IPO Details and Use of Proceeds
The Peyush Bansal-led eyewear products maker will raise Rs 2,150 crore via fresh issue of shares, while promoters and investors will be offloading 12.75 crore equity shares via offer-for-sale.
The OFS amounts to Rs 5,128, including from the likes of Softbank Vision Fund, Kedaara Capital, TR Capital, and Chiratae Ventures. The money will not go to the company.
Lenskart will use Rs 590 crore from the fresh issue for expenditure on lease/rent/license agreements related payments for CoCo stores in India. Brand marketing and business promotion expenses for enhancing brand awareness will require Rs 320 crore.
The company will invest Rs 272 crore in capex and Rs 213 crore in technology and cloud infrastructure. To learn more about IPO investment strategies, check out our comprehensive guide.