Lenskart IPO subscribed 28x on final day of bidding; GMP rises marginally

Lenskart IPO subscribed 28x so far on final day of bidding; GMP rises marginally

Lenskart IPO received over 28 times subscription on the final day of share sale on Tuesday. The Rs 7,278-crore IPO received bids for over 281 crore shares, as against 9.97 crore shares on offer, as per NSE data.

The Retail Individual Investors (RIIs) part fetched 7.53 times subscription, while the non-institutional investor category got subscribed 18.23 times. The portion for Qualified Institutional Buyers (QIBs) received 40.35 times subscription.

According to platforms tracking the grey market activities, the shares of Lenskart are commanding a GMP of over 14 percent in the unregulated market. Investorgain quoted a GMP of Rs 57 for the shares of the company, indicating a listing gain of 14.18 percent.

The eyewear firm has fixed a price band of Rs 382 to Rs 402 per share for the IPO, targeting a valuation of over Rs 69,700 crore at the upper end.

Lenskart proposes to use the proceeds from the IPO for strategic initiatives, including capital expenditure to set up new company-operated, company-owned (CoCo) stores in India, and payments under lease, rent, and licence agreements for these CoCo stores.

Investments in technology and cloud infrastructure, brand marketing and business promotion to enhance brand awareness, potential unidentified inorganic acquisitions, and general corporate purposes were some of the other goals stated by the firm.

The company, one of India's largest omni-channel eyewear retailers, offers a wide range of prescription eyeglasses, sunglasses, and contact lenses through its online platform and retail network.

Founded in 2008, Lenskart started as an online eyewear platform in 2010 and opened its first physical store in New Delhi in 2013.

Lenskart IPO shares will make its debut on the stock exchanges on November 10, while the allotment is expected by November 6.