ChrysCapital, a private equity fund, is reportedly in discussions to invest approximately $100 million in omnichannel eyewear retailer Lenskart. However, the deal has yet to be finalised, as reported by the Economic Times.
If successful, it is said that the investment would mark one of the largest by ChrysCapital in a new-age entity. Lenskart's total ongoing funding round would increase to around $500 million if ChrysCapital participates, as other early investors including SoftBank Vision, Kedaara Capital and TR Capital are clocking a partial exit.
The investment would take place at a valuation of $4 billion. Alpha Wave Global, previously Falcon Edge and an existing backer, may also purchase more shares in the current financing round.
The report further stated that that the ongoing funding round is primarily a secondary share sale, with stocks changing hands from existing to new investors. The round may have a small primary capital infusion. It has been suggested that the deal is taking place at a discount to the last valuation in a primary fundraise.
Kedaara Capital has a 9 per cent stake in Lenskart, while SoftBank and Premji Invest own nearly 19 per cent and 10.4 per cent, respectively. SoftBank, which has been the firm's single largest investor since 2019, is the firm's largest shareholder. Lenskart acquired Owndays last year, accounting for nearly 66 per cent growth in consolidated operating revenue at Rs 1,502 crore ($201.8 million) in the fiscal year 2022 (FY22). However, the company reported losses of Rs 102 crore ($13.7 million) after recording a profit of Rs 28 crore in the previous fiscal year.