Goldman Sachs and Morgan Stanley Join Forces in Rs 1,960 Crore Stake Acquisition of Lenskart.
On Thursday, ADIA-backed Platinum Jasmine A 2018 Trust sold a 2.3% stake in Lenskart Solutions for approximately Rs 1,960 crore through a block deal. The transaction involved the offloading of 4 crore shares at a price of Rs 490 each, translating to a discount of about 2% from the last recorded closing price of Rs 500.15. This significant sale garnered strong interest from both domestic and global institutional investors, highlighting a robust demand environment for shares of the rapidly growing eyewear retailer.
Among the notable participants in the transaction were several major mutual funds and institutional entities, including Kotak Mahindra Mutual Fund, Canara Robeco Mutual Fund, Franklin Templeton Mutual Fund, and Mirae Asset Mutual Fund. Additionally, prominent insurance firms like ICICI Prudential Life Insurance and HDFC Life, as well as significant foreign entities such as Morgan Stanley and Goldman Sachs Investments, acquired shares in the deal. This diverse array of buyers reflects a strong institutional backing for Lenskart amid its ongoing growth trajectory.
The recent divestment follows a previous sale by SoftBank affiliate SVF II Lightbulb, which disposed of 5.65 crore shares in Lenskart at Rs 508.55 each. Notably, brokerages remain bullish on Lenskart’s long-term prospects, with Elara Capital initiating coverage with a “Buy” rating and a target price of Rs 615. This outlook is supported by the company’s integrated business model, which encompasses eye testing, manufacturing, distribution, and retail, and is projected to achieve a 25% revenue CAGR and 38% EBITDA CAGR between FY26 and FY29.
Lenskart continues to expand its market presence, operating over 600 stores globally and enhancing its footprint through strategic acquisitions like Owndays and Meller. Currently, around 42% of its revenue is derived from international operations. The company’s technologically driven vision care platform and its backward-integrated manufacturing capabilities position it as a formidable player in India’s eyewear market, further solidifying its appeal to investors seeking exposure to high-growth sectors.
Source: The Economic Times
(Expert Note: This report was prepared by the Wealthova team.)