Lenskart founder Peyush Bansal is planning to repurchase 1.5–2% of the company’s shares (approximately ₹1,200 crore or $150 million) from investors including TR Capital, Chiratae, SoftBank, and Kedaara, at a valuation of around $7–8 billion livemint
📈 Why It’s Significant
- Reclaiming Control
After multiple funding rounds, Bansal’s ownership has diluted. This move helps him reinforce control and show confidence ahead of an IPO. - Valuation Signal
The buyback valuation (~$7 billion) highlights strong investor confidence in Lenskart’s growth, even as the company plans for a future IPO in the $8–10 billion range. - IPO Momentum
With Avendus Capital assisting the transaction, the deal is expected to close within 4–6 weeks, followed by IPO filing later in 2025
📅 Timeline & Future Steps
| Event | Timeline |
|---|---|
| Buyback Negotiations | In progress; finalizing |
| Deal Closure | Within 4–6 weeks |
| IPO Filing (DRHP submission) | Post buyback, likely 2025 |
| IPO Launch | Expected in 2026 |
- Bansal aims to offset dilution from past investor rounds.
- Lenskart has already engaged investment banks: Kotak Mahindra, Axis, Citi, Morgan Stanley, and Avendus
- Company converted to a public limited entity in June 2025 to pave the way for listing.
🌐 Background: Lenskart at a Glance
- Founded in 2010 by Peyush Bansal, Amir Chaudhary, Neha Bansal, and Sumeet Kapahi
- Offers prescription eyewear, sunglasses, and contact lenses across India, Southeast Asia, and the UAE.
- FY24 revenue rose 43% to ₹5,428 crore; losses reduced significantly
- Secondary rounds have marked valuation escalations: $4.5B (Apr 2023), $5.6B (June 2024), now approaching $7B
🔍 Why This Matters
- Founder Confidence: Bansal’s buyback sends a strong signal of belief in the business’s long-term potential.
- IPO Positioning: Strengthened equity ahead of public listing enhances leadership credibility and commitment.
- Investor Transition: Early investors partially cash out, diversifying their return through this secondary sale.
✅ What to Watch
- Finalization of the stake buyback deal.
- Submission of the DRHP (draft red herring prospectus) to market regulators.
- IPO timing and targeted valuation range ($8–10 billion).
- Potential market reception—will public investors match private valuations?
