Lenskart IPO Roars on Day 2: Retail Investors Lead the Charge
The Indian primary market is buzzing with activity, and the spotlight is firmly on the much-anticipated Initial Public Offering (IPO) of Lenskart Solution Ltd. On the second day of bidding, the omnichannel eyewear giant has witnessed a robust response, particularly from retail investors, signalling strong market confidence. The issue was subscribed a healthy 2.02 times overall by 5:00 p.m., a significant jump from its full subscription on the opening day.
This overwhelming enthusiasm, especially from the retail segment, raises a critical question for investors sitting on the sidelines: Is this the right time to jump into the Lenskart growth story? In this in-depth analysis, we will dissect every aspect of the Lenskart IPO – from the live subscription numbers and Grey Market Premium (GMP) to a deep dive into the company’s financials, business model, strengths, and potential risks.
Lenskart IPO Subscription Status: Day 2 Highlights
The bidding data from the National Stock Exchange (NSE) reveals a fascinating story. While institutional interest is gradually building, it’s the retail army that has truly embraced this public offer. This category, reserved for individual investors applying for up to ₹2 lakh, has been oversubscribed by a staggering 3.33 times.
Here’s a detailed breakdown of the subscription figures as of the end of Day 2:
| Investor Category | Subscription (Times) |
|---|---|
| Qualified Institutional Buyers (QIBs) | 1.64x |
| Non-Institutional Investors (NIIs) / HNI | 1.89x |
| Retail Individual Investors (RIIs) | 3.33x |
| Employee Reserved | 2.62x |
| Total Subscription | 2.02x |
Analysis of the Numbers: The trend is clear. Retail investors are bullish on Lenskart’s prospects, likely influenced by its strong brand recall, the popularity of its founder Peyush Bansal (of Shark Tank India fame), and its visible growth trajectory. The relatively moderate subscription from QIBs and NIIs is typical for the second day, as these categories often place their bids en masse on the final day of the IPO window. A significant jump in these segments is expected on Day 3, which will be crucial in determining the overall success and potential listing gains.
Decoding the Lenskart IPO Grey Market Premium (GMP)
Another key indicator that traders and investors keenly watch is the Grey Market Premium or GMP. The grey market is an unofficial, unregulated market where IPO shares are traded before they are listed on the stock exchanges. The GMP reflects the premium investors are willing to pay over the issue price.
As of the evening of Day 2, the Lenskart IPO GMP stood at a solid ₹60 per share.
Let’s break down what this means:
- IPO Price Band: ₹382 – ₹402 per share
- Cut-off Price (Upper Band): ₹402
- Current GMP: + ₹60
- Indicated Listing Price: ₹402 + ₹60 = ₹462
- Potential Listing Gain: Approximately 14.93% over the issue price.
A positive GMP of nearly 15% suggests that the market anticipates a decent listing. However, it is crucial for investors to remember that the GMP is a speculative indicator. It can change rapidly based on market sentiment and the final subscription figures. It should not be the sole factor in your investment decision.
Disclaimer: The GMP is not an official price. It is purely based on speculation in the grey market and does not guarantee returns. Please conduct your own research before investing. [Read more about Understanding Grey Market Premium]
Lenskart IPO: All You Need to Know in One Place
For those considering an application, here are the critical details of the Lenskart IPO compiled in an easy-to-read format:
| Lenskart IPO Details | |
|---|---|
| Issue Size | ₹7,278.02 Crore |
| Fresh Issue | ₹2,150 Crore |
| Offer for Sale (OFS) | ₹5,128.02 Crore |
| Price Band | ₹382 to ₹402 per share |
| Lot Size | 37 Shares |
| Minimum Investment (Retail) | ₹14,874 (at the upper price band) |
| Listing On | BSE, NSE |
Important Dates to Remember
- IPO Allotment Finalisation: Thursday, November 6, 2025
- Initiation of Refunds: Friday, November 7, 2025
- Credit of Shares to Demat: Monday, November 10, 2025
- Tentative Listing Date: Monday, November 10, 2025
Beyond the Hype: A Deep Dive into Lenskart’s Business
To make an informed investment decision, one must look beyond the immediate IPO excitement and understand the underlying business. What exactly is Lenskart, and what makes it a compelling story?
The Lenskart Vision: From Online Disruptor to Omnichannel Titan
Founded in 2010 by Peyush Bansal, Amit Chaudhary, and Sumeet Kapahi, Lenskart started as a purely online platform with a mission to revolutionize the highly unorganized Indian eyewear market. Today, it has evolved into a formidable omnichannel powerhouse, seamlessly integrating its online presence with a vast network of over 1,500 physical stores across India and Southeast Asia.
The company’s core strength lies in its vertically integrated business model. Lenskart controls the entire value chain – from in-house design and manufacturing to its tech-driven online platform and physical retail experience. This allows for better quality control, faster product launches, and competitive pricing, giving it a significant edge over traditional opticians.
Investment Rationale: Key Strengths of Lenskart
- Market Leadership: Lenskart is the largest organized player in the Indian eyewear industry, a market poised for significant growth due to increasing screen time, rising disposable incomes, and a shift from unorganized to branded products.
- Strong Brand Equity: The brand enjoys immense recall value, further amplified by the public profile of its co-founder, Peyush Bansal. Its marketing campaigns and celebrity collaborations have cemented its position as a trendy, accessible, and trustworthy brand.
- Powerful Omnichannel Network: Lenskart’s ‘clicks-to-bricks’ model caters to all types of consumers. Customers can browse online, try on frames virtually using AR technology, or visit a physical store for a hands-on experience and eye check-up. This integrated approach creates a loyal customer base.
- Technology at its Core: From its AI-powered facial analysis for frame recommendations to its robotic manufacturing plants, technology is a key differentiator for Lenskart, driving efficiency and enhancing customer experience.
- Impressive Financial Trajectory: The company has demonstrated explosive revenue growth and, most importantly, has recently turned the corner to profitability, a key milestone that boosts investor confidence.
Potential Risks and Concerns to Consider
No investment is without risk. Prospective investors should also weigh the potential challenges:
- Intense Competition: While a market leader, Lenskart faces competition from established players like Titan Eyeplus, international brands, and a vast network of local opticians.
- High Valuation: The IPO is priced at a premium, factoring in future growth. If the company fails to meet its ambitious growth targets, the stock price could face pressure post-listing.
- Large Offer for Sale (OFS) Component: A significant portion of the IPO (₹5,128.02 crore) is an OFS, where existing investors are selling their shares. While common in startup IPOs, a large OFS can sometimes be perceived as early backers cashing out.
- Execution Risk: The company’s future growth hinges on successful expansion, particularly in international markets, which comes with its own set of challenges.
Financial Health Check: Analyzing Lenskart’s Numbers
A look at Lenskart’s financial statements reveals a story of aggressive growth culminating in profitability. This is a critical factor for investors evaluating the IPO.
| Financial Year (FY) | Revenue from Operations (in ₹ Crore) | Profit / (Loss) After Tax (in ₹ Crore) |
|---|---|---|
| FY23 | 3,788 | (63.75) |
| FY24 | 5,428 | (10.15) |
| FY25 | 6,652 | 297.3 |
Key Financial Takeaways:
- Stellar Revenue Growth: Lenskart’s revenue grew by a remarkable 43% in FY24 and another 23% in FY25. This consistent top-line growth showcases the company’s ability to scale and capture market share.
- The Profitability Milestone: The most significant development is the company turning profitable in FY25 with a net profit of ₹297.3 crore. This addresses a major concern often associated with high-growth tech companies and makes the investment proposition much stronger.
- Use of IPO Proceeds: The fresh issue of ₹2,150 crore will provide the company with significant capital. As per typical objectives, these funds are likely to be used for expanding its store network in India and abroad, investing in technology and supply chain infrastructure, potential acquisitions, and for general corporate purposes. This infusion of capital will fuel the next phase of its growth.
How to Apply for the Lenskart IPO? A Step-by-Step Guide
If you’ve decided to invest, applying for the IPO is a straightforward process through most brokerage apps and banking portals. Here’s how:
- Login to your Brokerage App: Open your Demat and trading account app (e.g., Zerodha, Upstox, Groww, Angel One).
- Navigate to the IPO Section: You will find a dedicated IPO section on the app’s dashboard.
- Select the Lenskart IPO: Find ‘Lenskart Solution Ltd.’ in the list of open IPOs and click ‘Apply’.
- Enter Bid Details: You will need to enter the number of lots you wish to apply for (1 lot = 37 shares). It is always advisable to bid at the ‘Cut-off Price’ (which will automatically be the upper price band of ₹402) to maximize your chances of allotment.
- Enter UPI ID: Enter your correct UPI ID linked to your bank account.
- Authorize the Mandate: You will receive a payment mandate request on your UPI app (like GPay, PhonePe, Paytm). Approve this mandate to block the funds. The money will only be debited from your account if you receive an allotment.
You can also apply through your bank’s net banking portal using the ASBA (Application Supported by Blocked Amount) facility.
Final Verdict: Should You Subscribe to the Lenskart IPO?
The Lenskart IPO presents a compelling opportunity to invest in a market leader with a proven track record of growth, a strong brand, and a clear path to profitability. The overwhelming response from retail investors and a positive grey market premium indicate a high probability of a positive listing.
For Listing Gains: Given the strong retail sentiment and positive GMP, the IPO appears attractive for short-term listing gains. The final subscription figures on Day 3 will be a key determinant of the listing day performance.
For Long-Term Investment: Lenskart is a solid long-term bet on the Indian consumption story and the formalization of the eyewear market. Its omnichannel strategy and focus on technology create a sustainable competitive advantage. Investors with a long-term horizon can consider subscribing and holding the stock, potentially adding more on any post-listing dips.
However, the premium valuation is a point of caution. Investors must be comfortable with the asking price, which already bakes in significant future growth. As always, it is essential to consider your own risk appetite and investment goals.
Disclaimer: This article is for informational purposes only and should not be considered as financial advice. Investments in the stock market, including IPOs, are subject to market risks. Please consult with your SEBI-registered financial advisor and read the Red Herring Prospectus (RHP) carefully before making any investment decisions.
