Lenskart Solutions Ltd. on Monday announced the price band for its upcoming initial public offering worth Rs 7,278 crore. The IPO will open for subscription on Oct. 31 and close on Nov. 4.
Investors can bid for shares in the Lenskart IPO between Rs 382 and Rs 402, according to a public advertisement. The minimum bid size is 37 shares per lot, requiring an investment of Rs 14,874. The portion for retail investors in the IPO is capped at 10% of the issue.
The IPO allotment will be tentatively finalised on Nov. 6, and shares will be credited into the demat accounts by Nov. 7.
Lenskart Solutions will list on the NSE and BSE on Nov. 10.
On the upper price band, the company is valued at nearly Rs 70,000 crore.
The Peyush Bansal-led eyewear products maker will raise Rs 2,150 crore via fresh issue of shares, while promoters and investors will be offloading 12.75 crore equity shares via offer-for-sale. The OFS amounts to Rs 5,128, including from the likes of Softbank Vision Fund, Kedaara Capital, TR Capital, and Chiratae Ventures.
The IPO has been in focus for quite some time, with DMart’s Radhakishan Damani having already invested Rs 90 crore ahead of the issue opening.
As per the IPO offer documents, Lenskart will deploy the fresh issue proceeds mainly for lease and rent payments for company-owned, company-operated (CoCo) stores in India.
Lenskart has allocated as much as Rs 591 crore for the management and sustenance of these CoCo stores. Around Rs 320 crore will be used for marketing and business promotion while Rs 276 crore will be used as capital expenditure to set up new CoCo stores in India.
Lenskart also aims to utilise Rs 213 crore for investing in technology and cloud infrastructure. Remaining funds will be used for general corporate purposes.
Kotak Mahindra Capital Co., Morgan Stanley India Co., Avendus Capital, Citigroup Global Markets India, Axis Capital Ltd., and Intensive Fiscal Services Ltd. are acting as the book-running lead managers for the Lenskart Solutions IPO.
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