Lenskart IPO Subscription Status
As per BSE data, the Lenskart IPO was subscribed 1.13 times at the end of Day 1.
Retail Individual Investors (RIIs) subscribed 1.31 times of the 1.80 crore shares allocated to them.
Non-Institutional Investors (NIIs) subscribed 41% of the 2.71 crore shares on offer.
Qualified Institutional Buyers (QIBs) subscribed 1.42 times of the 5.42 crore shares reserved for them.
Lenskart IPO GMP Today
The latest Grey Market Premium (GMP) for Lenskart Solutions’ IPO stands at Rs 85, which is 21.14% above the issue price of Rs 402. This suggests that the IPO could potentially list around Rs 487 on the stock exchanges.GMP trends indicate strong investor demand for the issue. Before the IPO opened, the GMP was around 11.9%, and it has now surged to over 21%, reflecting heightened market enthusiasm and positive sentiment towards Lenskart’s public debut.
Business Overview
Lenskart has grown from an online eyewear startup into a full-fledged omnichannel retail player. The company offers prescription glasses, sunglasses, and contact lenses through its website, mobile app, and an expanding offline network of over 2,800 stores across 14 countries, including 2,137 stores in India. Lenskart also owns international brands like Owndays (Japan) and Meller (Spain), strengthening its footprint in Asia and Europe.
For FY25, Lenskart reported revenue of Rs 6,653 crore, marking a 23% year-on-year growth, along with a net profit of Rs 296 crore, rebounding from losses in FY24. Its EBITDA margin improved sharply to 14.7%, driven by cost optimization, strong branding, and premium product offerings.
Lenskart produces most of its eyewear in-house at facilities in Bhiwadi and Gurugram, enabling integrated supply chain management that balances affordability with quality. The company is also developing the world’s largest eyewear manufacturing facility in Hyderabad, which is expected to further enhance cost efficiency and scalability.
Lenskart IPO: Valuation, Market Outlook & Use of Funds
At the upper price band of Rs 402, Lenskart’s IPO is valued at a P/E of 235x FY25 earnings and an EV/EBITDA of 68x, making it one of the most expensive retail listings in recent times. While the valuations are on the higher side, analysts highlight the company’s strong long-term growth potential.
The Indian eyewear market, currently valued at Rs 78,800 crore, is projected to double to Rs 1.48 lakh crore by FY30, growing at a CAGR of 13%. Key growth drivers include rising digital adoption, improved healthcare access, and increasing fashion awareness among consumers.
Use of Proceeds
The net proceeds from Lenskart’s fresh issue will be primarily directed towards expanding its retail footprint, with Rs 272 crore allocated for setting up new company-owned stores and Rs 591 crore earmarked for lease and rental payments for existing and upcoming outlets.
Additionally, the company plans to invest Rs 213 crore in technology and cloud infrastructure to strengthen its digital capabilities and enhance operational efficiency. A further ₹320 crore will be used for brand marketing and business promotion, supporting Lenskart’s efforts to boost visibility and drive customer engagement across markets.
Brokerage Recommendations on Lenskart IPO
SBI Securities has assigned a “Subscribe for long term” rating, highlighting Lenskart’s robust business model and leadership in an underpenetrated market. The brokerage notes that while listing gains may be modest, the company’s integrated supply chain, improving profitability, and strong brand provide a long-term growth runway.
Ventura Securities also recommends “Subscribe”, describing Lenskart as a visionary growth story. The brokerage emphasizes the company’s technology-driven expansion, AI-powered customer interface, and a store payback period of under one year, projecting that profitability will expand further as Lenskart scales and enters new markets.
Nirmal Bang, meanwhile, acknowledges that the IPO may appear expensive at first glance, but believes the valuations are justified when compared to other modern retailers like Trent and Metro. The firm maintains a “Subscribe with long-term view” rating, citing Lenskart’s strong brand equity, premium product portfolio, and international growth plans.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)