Highlights – Lenskart IPO allotment on November 06: Check status online on NSE, BSE; GMP slumps 66% from peak ahead of allotment

“At the upper end of the price band, Lenskart Solutions is valued at an EV/Sales of 9.9x (TTM basis), which appears significantly high. While the company has posted steady topline growth, profitability remains weak, with a positive PAT mainly driven by other income and lower expenses,” said Choice Equity Research in an IPO note.

“Lenskart is a very unique company. Its real strength will unfold in the months ahead. Its listing price is at $8 billion, if it does not touch $15 billion in the next 12 months or less I’ll eat my hat out,” said Ronnie Screwvala to Financialexpress.com

During the three months ended June 2025, and for FY25, Lenskart Solutions recorded 7 lakh and 24.7 lakh transacting customer accounts, respectively, in its international markets, with eyewear unit sales of 11.3 lakh and 42.9 lakh, respectively. As of June 2025, the company operated 669 international stores, underscoring its strong retail footprint beyond India.

In a conversation with Financialexpress.com regarding the matter, Sunny Agrawal – Head of Fundamental Research at SBI Securities remarked that future profitability will be essential, but there’s no doubt that the business model is quite robust. The company has achieved significant on-ground advancements. Nonetheless, at the current price level, it is suitable for those interested in long-term investments in the retail eyewear direct-to-consumer sector. Moving forward, the primary indicators to monitor will be the business’s capability to enhance its profitability in alignment with its international counterparts.

Read more: Why Lenskart IPO valuations spark investor concerns even as Peyush Bansal says ‘my job is to create value’

The company targets different customer categories through a portfolio of brands and sub-brands that include premium collections through John Jacobs and Owndays, and economy and affordable premium collections through Lenskart Air, Vincent Chase, hustlr, and Hooper Kids.

Lenskart Solutions is India’s largest, and in Asia, it is amongst the two largest, organised retailers of prescription eyeglasses in terms of B2C eyeglasses sales volumes during the FY25.

The company strive to provide Eyewear for All and make quality eyeglasses accessible and affordable across the markets of operations. The total addressable market in India, South-East Asia, Japan, the Middle East and other international markets is expected to grow to approximately Rs 3,60,100 crore by FY3.

The IPO saw an overwhelming rush from investors across the board, pulling in bids worth Rs 27,494 crore for 9.97 crore shares on offer, an overall subscription of 6.86 times. Qualified Institutional Buyers subscribed 6.5 times, Non-Institutional Investors 8.6 times, and retail investors 5.37 times, while anchors had already taken up their full quota of Rs 3,268 crore. Even employees showed strong participation, subscribing 3.9 times to their portion.

“That said, while the numbers look stellar on paper, such heavy oversubscription often reflects short-term market excitement rather than deep conviction in the company’s fundamentals,” said Gaurav Garg, Research Analyst at Lemonn Markets Desk.

Lenskart Solutions operates a direct-to-consumer model that eliminates multiple layers of intermediaries in the traditional prescription eyeglasses supply chain, enabling the company to deliver products to customers at an affordable cost and with next-day delivery.

As of March 2025, Lenskart operated 2,723 stores globally-2,067 in India and 656 overseas with 1,757 owned and 310 franchised stores in India. Remote eye testing is offered through 136 optometrists at 168 stores across India and select international locations, including Japan and Thailand.

“Given its strong growth potential but high valuation and profitability risks, this offering is best suited for investors with a higher risk appetite and a long-term investment horizon. Thus we assign a “Subscribe for Long Term” rating for this issue,” said Choice Broking in its IPO note.

The company plans to use the IPO proceeds to expand its company-owned stores, with Rs 272 crore set aside for new outlets and Rs 591 crore for lease and rent expenses. Around Rs 213 crore will go toward technology upgrades, Rs 320 crore for marketing, and the remaining funds for acquisitions and general corporate purposes.

The Lenskart IPO, which opened on October 31, 2025, is valued at Rs 7,278 crore. This includes a fresh issue of Rs 2,150 crore and an offer for sale (OFS) worth Rs 5,128 crore. Shares are priced in the range of Rs 382–Rs 402 per share.

To maintain control over quality and efficiency, Lenskart designs, manufactures, and brands most of its own products. The company’s integrated supply chain helps manage stock effectively and avoid shortages.

In FY25, Lenskart’s revenue rose about 22–23% to Rs 6,653 crore, marking a turnaround from the previous year’s loss. The company reported a net profit of around Rs 297 crore.

Lenskart has incorporated technology into its operations through robotic lens manufacturing and virtual try-on tools. The company also invests in cloud-based systems to streamline production and improve customer experience.

The company follows an omnichannel model, blending online convenience with offline presence. With over 2,700 physical stores across India, Lenskart allows customers to either order online or visit stores for personalized assistance and eye tests.

According to its filings, nearly 95% of Lenskart’s revenue comes from prescription eyewear. The rest is generated from services like home eye check-ups, memberships, and franchise operations.

Lenskart is one of India’s largest eyewear retailers, offering prescription glasses, contact lenses, and sunglasses. The company also sells eyewear accessories and provides vision care services through both online and offline channels.

Lenskart IPO opened on October 31, and will close on November 4. Shares are expected to list on the BSE and NSE around November 10.

Fluctuations in the prices of raw materials could adversely affect the business, results of operations, financial condition, and cash flows. An inability to maintain or improve capacity utilisation levels at the manufacturing facilities could have an adverse effect on business.

Lenskart follows an omnichannel model, combining online and offline sales. The company sells through its website, mobile app, and a large network of 2,723 stores worldwide, including 2,067 in India and 656 overseas across Japan, Southeast Asia, and the Middle East.

Lenskart integrates technology into its operations from AI-based virtual try-on tools to home eye testing, making shopping and testing more convenient for users. The company offers a wide range of eyewear, catering to both budget-conscious and premium customers.

Lenskart Solutions operates a direct-to-consumer model that eliminates multiple layers of intermediaries in the traditional prescription eyeglasses supply chain, enabling the company to deliver products to customers at an affordable cost and with next-day delivery. The company will continue to expand and diversify the brand portfolio and product offerings to address evolving customer needs and enhance customer engagement.

Lenskart Solutions’ Rs 3,268 crore IPO saw robust investor response, closing with an overall subscription of 28.26 times on Tuesday, November 4. Qualified institutional buyers led the charge with 40.35x bids, while the NII and retail portions were subscribed 18.23x and 7.54x, respectively. The eyewear retailer is set to become India’s first listed organized eyewear brand.

Lenskart Solutions’ Rs 3,268 crore IPO saw robust investor response, closing with an overall subscription of 28.26 times on Tuesday, November 4. Qualified institutional buyers led the charge with 40.35x bids, while the NII and retail portions were subscribed 18.23x and 7.54x, respectively. The eyewear retailer is set to become India’s first listed organized eyewear brand.

The IPO of Lenskart Solutions got subscribed over 28 times so far on the last fay of bidding. The subscription was led by the QIBs, who jumped in at the last moment, booking the IPO more than 40 times. The retail segment was booked 7.33 times, the employee section was booked almost 5 times, and the NIIs subscribed it 18.20 times.

The company targets different customer categories through a portfolio of brands and sub-brands that include premium collections through John Jacobs and Owndays, and economy and affordable premium collections through Lenskart Air, Vincent Chase, hustlr, and Hooper Kids.

They offer value-added services such as eye tests, home trials, after-sales support, and gift cards through the online and in-store channels. The loyalty programs include Lenskart Gold (with 7.12 million members as of June 2025) and Owndays Loyalty, offering points, discounts, and exclusive rewards to members.

“I would say that, firstly, as a company and as an entrepreneur, our job is to create value for the customer. As far as the valuation is concerned, it is what the market decides. Even if we look at the valuation, there are investors who are selling shares, there are investors who are coming in, and they have done a lot of work to arrive at these numbers,” said Peyush Bansal in an interview.

Read more: Why Lenskart IPO valuations spark investor concerns even as Peyush Bansal says ‘my job is to create value’

Fluctuations in the prices of raw materials could adversely affect the business, results of operations, financial condition, and cash flows. An inability to maintain or improve capacity utilisation levels at the manufacturing facilities could have an adverse effect on business.