Lenskart Approaches Bankers for $1 Billion IPO Proposal

Lenskart, the rapidly growing eyewear startup, has made a significant move towards its Initial Public Offering (IPO) plans. The company has called on bankers to pitch for its IPO, in which Lenskart aims to raise between $750 million and $1 billion. This marks a crucial step in the company’s journey to becoming a publicly traded entity. The IPO is expected to take place around the end of fiscal year 2026.

Valuation and IPO Timing

Lenskart is targeting a valuation between $7 billion and $8 billion for its public listing. The company has ambitious plans for its future growth and positioning on the global market. According to sources familiar with the matter, the listing is expected to occur towards the end of fiscal year 2026, marking an important milestone in the company’s expansion strategy. The valuation suggests significant investor interest and confidence in Lenskart's business model and growth trajectory.

Financials and Recent Performance

Lenskart, which has been profitable in the past, saw a minor setback in FY24. The company incurred a loss of Rs 10 crore despite generating Rs 5,427 crore in revenues. This loss, however, does not seem to deter its growth plans or its ambition to go public. The eyewear brand has managed to maintain strong revenue despite the loss, highlighting its resilience in a competitive market.

Lenskart Joins the Ranks of New Age Firms Eyeing IPOs

Lenskart’s plans to go public follow the footsteps of other new-age companies like Swiggy, Zomato, and Paytm, which have also gone public in recent years. Lenskart’s IPO plans come at a time when several other startups, such as contract manufacturer Zetwek, fintech unicorn Pine Labs, and SoftBank-backed OfBusiness, are also looking to raise $1 billion through IPOs in the near future.

The wave of new-age startups looking to go public signals a strong recovery in the IPO market after the dip in 2024, when only 13 startups listed, raising approximately Rs 29,000 crore ($3.4 billion).

The Surge in IPO Market Activity

In 2025, around 25 startups, including quick commerce leader Zepto, AI unicorn Fractal, edtech startup PhysicsWallah, and Infra.market, are all expected to launch their IPOs. Most of these companies are looking to raise approximately $500 million each.

This marks a sharp recovery from the previous year, with industry stakeholders expecting the momentum to continue throughout 2025. The buoyant public markets in India have fostered a resurgence in startup funding, especially for firms preparing for IPOs.

Lenskart’s Leadership Changes and IPO Preparation

In preparation for its impending public listing, Lenskart has made a significant leadership change by appointing Abhishek Gupta, the former CFO of OYO, as its new CFO. This move reflects Lenskart’s strategic approach to getting ready for the IPO process, ensuring that the company has strong financial leadership in place for its public offering.

The Role of Pre-IPO Funding in Startup Growth

Several IPO-bound firms, including Lenskart, Zepto, Rebel Foods, Oyo, and PhysicsWallah, raised substantial pre-IPO funding in 2024. These funding rounds are crucial for companies looking to strengthen their balance sheets before going public. With pre-IPO rounds providing a major boost, these companies are poised for successful IPOs, leveraging public market opportunities to fuel their continued growth.

Conclusion

Lenskart’s potential $1 billion IPO is just one of many upcoming public listings in India’s thriving startup ecosystem. With strong backing, a solid business model, and leadership changes designed to ensure financial stability, Lenskart is on track to become one of the leading players in the Indian public markets. The trend of IPO-bound startups is only gaining momentum, with industry experts predicting a robust year for new-age companies looking to go public in 2025.