Lenskart Secures $200M from Temasek and Fidelity Management

Lenskart has raised $200 million from Temasek and Fidelity Management & Research through a secondary investment, which has increased the company's valuation to approximately $5 billion, up from its previous valuation of $4.5 billion. In this secondary deal, some early investors sold parts of their stakes to Temasek and Fidelity, meaning the shares were transferred among investors without adding new funds to the company.

With this investment, Fidelity joins Lenskart's list of stakeholders. Market research firm Tracxn reports that Temasek already holds a 5.5% stake in the company, and this new investment from Fidelity does not significantly alter Temasek's ownership percentage. According to Avendus, Lenskart has raised close to $1 billion over the past 18 months, marking it as one of the largest growth-stage financings globally.

Over the past year, Lenskart secured $600 million from investors through two separate rounds of funding, which combined both primary and secondary transactions. This funding increased the company's valuation to $4.5 billion. A significant portion of this investment came from the Abu Dhabi Investment Authority (ADIA), which invested $500 million, primarily through secondary transactions. As part of ADIA's investment, SoftBank sold $60 million worth of its shares in the company.

Furthermore, private equity firm ChrysCapital recently invested an additional $100 million in Lenskart through a mix of primary and secondary funding. Lenskart is notable for attracting substantial investor interest, even amid generally subdued deal activity in the late-stage startup segment. SoftBank remains Lenskart's largest investor, holding a 16.5% stake in the company.

Lenskart continues to expand its presence both in India and internationally, rapidly extending its reach across Asia and the Middle East. This expansion, coupled with the significant investments, underscores the company's strong market position and growth potential. Despite the challenging environment for late-stage startups, Lenskart's ability to secure substantial funding highlights its attractiveness to investors and its promising outlook in the competitive eyewear market.