Omnichannel eyewear giant Lenskart is preparing for an initial public offering (IPO) with a target valuation of $10 billion, doubling its previous funding round valuation. The company plans to file its draft red herring prospectus (DRHP) by May 2025 to go public later in the year.
According to sources, CEO Peyush Bansal and key investors have been discussing the $1 billion IPO with bankers. However, the final valuation will depend on market conditions closer to the listing date.
“Work is underway to file the DRHP by May so it can… get listed this calendar year,” an insider shared. While some within the company are optimistic about pushing for an even higher valuation, they acknowledge the need to keep pricing attractive for public market investors.
Lenskart’s decision to go public comes after years of sizeable secondary share sales that allowed investors to partially exit without requiring a formal IPO. In June 2024, Lenskart closed a $200 million secondary round at a $5 billion valuation, following an earlier primary capital raise at $4.5 billion. Unlike most secondaries that happen at a discount, Lenskart’s shares have been in high demand among investors.
The 15-year-old firm has been working aggressively towards full profitability ahead of its IPO, implementing technology-driven efficiencies resulting in a sharp decline in losses. In FY24, net loss shrank to ₹10 crore from ₹64 crore in FY23, while revenue surged 43% year-on-year to ₹5,428 crore.
The company also saw its EBITDA more than double, jumping from ₹403 crore in FY23 to ₹856 crore in FY24. This improvement reflects Lenskart’s strong operational efficiencies and increasing dominance in India’s eyewear market.
\Bansal has previously highlighted that customer satisfaction levels have significantly improved, with the company’s net promoter score rising from 65 to over 80 in recent years. “Tech is at the heart of everything we do, whether it’s improving the customer experience, optimising the supply chain, or reducing delivery times,” he stated in an earlier interview.
Lenskart is backed by SoftBank and Temasek and remains the clear market leader in India’s eyewear space. The company has also been expanding internationally, particularly in Thailand and Japan, where it acquired premium eyewear brand Owndays in 2022 for $400 million. Additionally, Lenskart owns a significant stake in Paris-based Le Petit Lunetier as part of its global omnichannel expansion strategy.
The company now has an annual revenue run rate of $1 billion (₹8,400 crore) and produces 25 million frames and 30-40 million lenses annually.
Lenskart is making significant strides in local manufacturing and offline retail expansion. Most of its production has now shifted to its Rajasthan facility, and the company is investing $200 million in a new plant in Telangana to strengthen its India export business and lower costs. While online sales have surged, Lenskart is doubling down on its brick-and-mortar presence, planning to add 400 new stores to its already vast 2,500-store network.
Lenskart’s planned IPO comes as a wave of late-stage startups- including Zepto, Groww, Bluestone, PharmEasy, Oyo, Ather Energy, and Zetwerk- prepare for public listings in FY26. While investors remain bullish on the market, companies are expected to price their offerings carefully based on public market sentiment when listing.