Lenskart in talks with 5 i-banks to kick off mega $1 bn-plus IPO later this month

LENSKART

Top omni-channel eyewear retailer Lenskart, which is backed by the likes of Softbank, Temasek and ADIA ( Abu Dhabi Investment Authority), has held talks to pick at least five investment banks as advisors as it looks to kick off its mega $1 billion-plus IPO later this month, multiple industry sources in the know told Moneycontrol.

"Advanced discussions have been held with Kotak Mahindra Capital, Axis Capital, Citi , Morgan Stanley and Avendus Capital and they are likely to be taken on board. The deal is slated to be kicked off post mid-February. More advisors may be tapped later if required," said one of the persons cited above.

In a kick-off meeting, the issuer firm discusses key plans and the roadmap for the IPO along with the roles and responsibilities for the advisors who are brought together.

Two other persons confirmed the above.

One of them said, "These are early days and the issue size hasn't been finalised as yet but the plan is to raise in excess of a billion dollars."

On January 9, Moneycontrol reported that Lenskart had invited i-banks to pitch for the company's IPO.

Lenskart last raised $200 million from Temasek and Fidelity in June 2024 at a valuation of $5 billion.

A fourth person familiar with the listing plans added, "This is a unique firm and a full stack player with a combination of manufacturing, distribution, D2C as well as omni-channel capabilities and the valuation will depend on market conditions and multiples prevailing at the time of filing."

A fifth person said, "The issue will facilitate a partial or full exit for the multiple investors via an OFS or offer for sale but there may also be a primary component as the firm is looking to expand its capacity."

All the five persons cited above spoke to Moneycontrol on the condition of anonymity.

An email query to Lenskart remained unanswered at the time of publishing this article. Moneycontrol could not elicit an immediate comment from the five i-banks.

While Lenskart was profitable in the past, it incurred a loss of Rs 10 crore on the back of Rs 5,427-crore revenues in FY24, filings showed.

The firm was founded in 2008 by Peyush Bansal, Amit Chaudhary, Neha Bansal and Sumeet Kapahi and in 2019, the eyewear brand joined the coveted unicorn club. It also counts Alpha Wave Global, KKR, Kedaara Capital and TPG as its backers.

Also Read: Former OYO finance chief Abhishek Gupta joins Lenskart as CFO

In December, Lenskart signed an MoU with the Telangana government to set up a manufacturing facility with an investment of around Rs 1,500 crore. The plant, set to be established at Fab City, is expected to generate around 2,100 jobs.