Global investment firm KKR is leading Delhi-based multi-channel eyewear brand Lenskart’s latest fundraising round with an infusion of $95 million, the two companies said in a joint statement.
According to a report in the Economic Times, the entire round is worth around $250-300 million and takes the company’s valuation to $2.5 billion.
Lenskart will use the fresh infusion for expanding its presence in India, scaling its growing operations overseas, and enhancing its digital offerings.
As part of the transaction, existing investors TPG Growth and TR Capital, who first invested in Lenskart in late 2014, will each divest a portion of their holding in the company, according to the statement.
Angel investor Ratan Tata, who had invested in Lenskart in 2016 is also expected to exit the company. In February, Lenskart’s board had passed a special resolution to convert all the preference shareholdings held by Tata upon receiving his request for liquidation through a secondary sale.
Entrackr had exclusively reported the development.
It’s worth noting that Lenskart has been preparing for its initial public offering or IPO in the coming financial year. The company had also set up an ESOP trust for its employees in February before the potential listing on the stock exchange.
Led by Peyush Bansal, the eleven-year-old company claims to serve over 7 million customers annually through its omnichannel shopping experience which includes 730 stores in 175 cities across the country.
Unlike many consumer-facing companies that are still far from being profitable, Lenskart had achieved profitability in FY20. Its operating revenue jumped 90% to Rs 900.3 crore with a profit of Rs 6.32 crore for the fiscal ended in March 2020.