Lenskart IPO Opens for Subscription: Strong Brand Buzz, But Valuation Raises Eyebrows
India’s leading eyewear retailer Lenskart opened its much-awaited initial public offering (IPO) for public subscription today, marking one of the biggest listings in the retail and lifestyle segment this year. The IPO will remain open until November 4, with a price band of ₹382–₹402 per share and a lot size of 37 shares for retail investors.
The total issue size stands at approximately ₹7,278 crore, comprising a fresh issue of ₹2,150 crore and an offer for sale (OFS) by existing shareholders, including early investors and private equity firms.
Grey Market Premium (GMP) Signals Moderate Listing Gains
According to market observers, Lenskart’s shares are trading at a premium of around ₹70 in the unlisted grey market, suggesting possible listing gains of 15–17% at the upper end of the price range. However, experts caution that the GMP reflects short-term sentiment and can fluctuate with market volatility and demand.
India’s Eyewear Leader Eyes Global Expansion
For FY25, the company reported revenue of ₹6,652 crore and a net profit of ₹297 crore, marking a significant turnaround from previous losses. The proceeds from the fresh issue will primarily be used for store expansion, supply chain upgrades, and technology investment. The company also plans to accelerate global expansion, with a focus on the Middle East and Southeast Asia.
Analysts Flag Valuation Concerns
Despite the buzz, analysts remain cautious about the IPO’s steep pricing. Swastika Investmart assigned a neutral rating, pointing out that Lenskart’s valuation seems heavily dependent on future growth expectations rather than current profitability.
The brokerage noted that a portion of the recent profit improvement stems from one-time accounting adjustments, making it difficult to assess the company’s core operational strength. Moreover, Lenskart’s vertically integrated model, while efficient, also increases its dependency on its own supply chain network.
Still, experts agree that Lenskart’s brand positioning and market potential give it an edge. India’s eyewear market remains underpenetrated, with millions still relying on unbranded options — a gap Lenskart aims to dominate. The presence of veteran investor Radhakishan Damani as a shareholder adds further credibility to its long-term story.
Should You Subscribe?
Investment advisors are divided.
If you’re a short-term investor, the GMP suggests a healthy debut, but much depends on overall market sentiment at the time of listing.
For long-term investors, Lenskart offers a compelling growth story backed by a strong brand, digital-first model, and clear expansion roadmap. However, the valuation premium means that returns may materialise over the long haul rather than immediately.
In essence, this IPO represents a premium bet on India’s organised eyewear future — promising in scale, but demanding patience.
Disclaimer: This article is for informational purposes only. Investors are advised to consult certified financial advisors before making investment decisions.
