In the bustling world of Indian retail, where e-commerce meets brick-and-mortar innovation, Lenskart Solutions Ltd has redefined how millions see the world—literally. Founded in 2008 by Peyush Bansal, the eyewear powerhouse behind Shark Tank India, Lenskart has grown from a modest online startup into India’s largest organized retailer of prescription eyeglasses. Its recent ₹7,278 crore initial public offering (IPO) in October 2025 not only marked a milestone for the company but also highlighted the booming investor appetite for consumer-facing tech brands. With shares now trading on the BSE and NSE since November 10, the spotlight remains on its Grey Market Premium (GMP)—a key indicator for retail investors gauging post-listing potential. This article unpacks the IPO essentials, GMP trends, and what it means for everyday Indian investors eyeing sustainable growth in a ₹78,800 crore eyewear market.
A Journey from Startup to IPO Stardom
Lenskart’s story is one of bold vision and relentless execution. Starting as an e-commerce platform for affordable eyewear, it quickly pivoted to an omnichannel model, blending online convenience with physical stores. By March 31, 2025, the company operated 2,723 stores worldwide—2,067 in India (1,757 company-owned and 310 franchised) and 656 abroad across 14 countries, including Singapore, UAE, Japan, and the US. Its mobile app boasts over 100 million downloads, backed by a tech team of 532 engineers driving features like virtual try-ons and AI-powered recommendations.
The core offerings—prescription eyeglasses, sunglasses, contact lenses, and accessories—are designed in-house, with manufacturing facilities in India (Bhiwadi, 75% automated as of June 2025) and regional hubs in Singapore and UAE. In FY25 alone, Lenskart launched 105 new collections, including collaborations with global brands and celebrities, catering to diverse price points and age groups. This innovation has fueled next-day delivery in 58 Indian cities and three-day delivery in 49 others, capturing 77% of the organized prescription eyewear market in value terms, per a Redseer Report.
Peyush Bansal, alongside promoters Neha Bansal, Amit Chaudhary, and Sumeet Kapahi (holding 19.96% pre-IPO), has steered Lenskart through 19 funding rounds, raising $1.08 billion from backers like SoftBank, Temasek, and Fidelity. The IPO, filed via Draft Red Herring Prospectus (DRHP) with SEBI in late July 2025 and approved by October, was a book-built issue blending fresh capital and an Offer for Sale (OFS).
IPO Breakdown: Size, Timeline, and Subscription Surge
The Lenskart IPO opened on October 31, 2025, and closed on November 4, with allotment finalized on November 6 and listing on November 10 on BSE and NSE. Priced at a band of ₹382–₹402 per share (face value ₹2), the minimum lot size was 37 shares, requiring a retail investment of ₹14,874 at the upper end. The issue comprised:
| Component | Details | Value (₹ Crore) |
|---|---|---|
| Fresh Issue | 5.35 crore equity shares | 2,150 |
| Offer for Sale (OFS) | Up to 12.76 crore shares from promoters and investors (e.g., SVF II Lightbulb, Schroders Capital) | 5,128 |
| Employee Reservation | Up to 5% of post-offer equity | Included in Net Offer |
| Total Issue Size | 18.11 crore shares | 7,278 |
The fresh issue funds will support capital expenditures for new company-owned stores in India, lease/rent/licensing costs, and general corporate purposes. Anchor investors, including SBI Optimal Equity Fund and SBI Emergent Fund, infused ₹3,268 crore on October 30.
Subscription was electric: Fully booked on Day 1 (1.13x overall), it soared to 28.26x by the final day, with Qualified Institutional Buyers (QIBs) at 40x, Non-Institutional Investors (NIIs) at 28x, Retail Individual Investors (RIIs) at 3.33x, and employees at 2.62x. Bids exceeded ₹1 lakh crore, underscoring faith in Lenskart’s model amid a fragmented market dominated by unorganized players.
Financial Snapshot: From Losses to Profitability
Lenskart’s numbers tell a tale of scaling smartly. Operating revenue grew steadily:
| Fiscal Year | Revenue from Operations (₹ Crore) | EBITDA (₹ Crore) | PAT (₹ Crore) |
|---|---|---|---|
| FY23 | 3,788 | 403 | Loss: 63.7 |
| FY24 | 5,428 (up 43%) | 856 | Loss: 10.1 |
| FY25 | 6,653 (up 23%) | 971 (margin: 14.7%) | Profit: 297 |
In FY25, total income hit ₹7,009 crore, with India contributing 58% (₹3,865 crore) and international markets 42% (₹2,550 crore, up 17% YoY with 52 new stores). Expenses rose 19% to ₹6,619 crore, led by employee benefits (₹1,379 crore, up 27%) and materials (₹2,134 crore, up 20%), but cost controls flipped the script to profitability. Net worth stood at ₹6,176 crore, with borrowings down to ₹335 crore.
Q1 FY26 showed promise: Revenue ₹1,946 crore, PAT ₹61 crore. Gross margins held at ~70%, with average selling price at ₹2,336 (USD 28) versus cost per unit of ₹672 (USD 8).
Decoding GMP: Trends and Investor Insights
Grey Market Premium (GMP)—the unofficial premium over the issue price in unlisted trading—offers a pulse on sentiment. For Lenskart, GMP started strong at ₹120 (30% premium) on October 26 but fluctuated amid valuation debates. Key trends:
- October 27: ₹105–₹80
- October 29–30: ₹64–₹48 (16–12% premium)
- October 31 (Day 1): ₹100 (25%)
- November 1–2: ₹85–₹65 (21–16%)
- November 4 (Final Day): ₹56 (14%)
- November 6–7 (Allotment): ₹45–₹30 (11–8%)
- November 9 (Latest Verified): ₹15 (3.73% premium)
The dip reflects caution over the ₹70,000 crore valuation (P/E 237x FY25 earnings, EV/EBITDA 68x), higher than peers like Titan Eye+ (FY24 revenue ₹707 crore, 10% growth). Yet, GMP signals moderate listing optimism, driven by Lenskart’s 22%+ revenue CAGR and profitability turnaround. For Indian investors, GMP is a sentiment gauge—not a predictor. High GMPs indicate bullishness; lows suggest realism. Experts advise focusing on fundamentals over grey market hype, especially with retail quotas at ~10% leading to oversubscription risks.
Risks and Opportunities in the Eyewear Arena
Lenskart’s vertically integrated supply chain ensures quality and speed, but challenges loom: A ₹15,000 crore Telangana greenfield facility faces delays in approvals and funding. Global exposure brings currency fluctuations and regulatory hurdles, while an ongoing Enforcement Directorate FEMA probe could impact reputation. Competition from Titan Eye+ and unorganized players (77% market share) adds pressure, as does thin-margin dynamics in eyewear.
On the flip side, India’s under-penetrated eyewear sector—poised for double-digit growth—offers tailwinds. Lenskart’s private labels (70% gross margins), Tier-2/3 city expansion, and international push position it for sustained 20%+ revenue growth. Post-IPO, watch EBITDA margin trajectory (7% in FY23 to 14.7% in FY25) and store additions for long-term value.
Why Lenskart Matters for Indian Investors
For the average Indian investor—from Mumbai millennials to Delhi retirees—Lenskart represents more than shares; it’s a bet on everyday essentials evolving into lifestyle must-haves. With 58% revenue from India and a cash buffer of ₹1,700 crore (H1 FY25), the company is primed for resilient growth. GMP’s moderation post-listing underscores a maturing market: Quick flips aside, true alpha lies in holding for the next leg of expansion.
As Lenskart sharpens its focus on profitability and scale, it could well become a cornerstone of Indian retail portfolios. Investors, remember: DYOR (Do Your Own Research) and consult advisors—because in the stock market, clear vision starts with informed choices.
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Last Updated on: Wednesday, November 19, 2025 7:21 pm by Sakethyadav | Published by: Sakethyadav on Wednesday, November 19, 2025, 7:21 pm | News Categories: Latest News India: Breaking News & Top Headlines | News Trail
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