Fidelity ups Lenskart valuation to $6.1 billion ahead of planned IPO

Lenskart converts to public entity ahead of potential $1 billion IPO

US-based investment firm Fidelity has raised the valuation of omnichannel eyewear retailer Lenskart to $6.1 billion in its latest portfolio update dated April 30. This represents a 22 percent markup from the $5 billion valuation at which Fidelity acquired Lenskart shares in a secondary transaction in June 2024.

That transaction also saw Singapore’s Temasek come on board as a new investor in the eyewear brand, which is now gearing up to go public. Lenskart has converted itself into a public entity — a key step in the IPO process.

As Moneycontrol previously reported, the company is in advanced talks to appoint a consortium of investment banks, including Kotak Mahindra Capital, Axis Capital, Citi, Morgan Stanley and Avendus Capital, to steer its initial public offering.

Sources told Moneycontrol that Lenskart is eyeing a public issue of more than $1 billion, which would make it one of the largest IPOs in India’s new-age consumer tech sector. The company has not officially confirmed the IPO size.

Founded in 2008 by Peyush Bansal, Amit Chaudhary, Neha Bansal and Sumeet Kapahi, Lenskart has grown into India’s largest omnichannel eyewear brand, with more than 2,000 offline stores complementing its online presence.

It entered the unicorn club in 2019 and counts marquee investors such as SoftBank, Temasek, Abu Dhabi Investment Authority (ADIA), Alpha Wave Global, KKR, Kedaara Capital, and TPG among its backers.

While Lenskart raised $200 million from Temasek and Fidelity last June, its financial performance slipped in FY24. The company reported a net loss of Rs 10 crore on operating revenue of Rs 5,427 crore, according to regulatory filings. It had posted profits in the previous year.

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