Temasek, Fidelity may invest $200 million in Lenskart at $5 billion valuation

economictimes.indiatimes.com:

Temasek and US’ Fidelity are in advanced discussions to invest around $200 million in Lenskart through a secondary share sale at a valuation of about $5 billion, three people aware of the matter said.
To put this in perspective, the round would take the homegrown eyewear company’s valuation to over three times that of Warby Parker, a New York-based online retailer for spectacles and contact lens. Warby Parker listed on the NYSE late in 2022 and has a market capitalisation of around $1.55 billion.

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Lenskart’s secondary sale is taking place at an 11-12% higher valuation than its previous $4.5 billion, setting it apart from other such transactions that typically close at a lower valuation. “Temasek is leading the $200-million round by putting in $125-150 million,” said a person cited.

“Fidelity (brings in) the rest,” the person cited earlier said.

While sovereign wealth manager Temasek is an existing investor in Lenskart, investment fund Fidelity will be investing in the omnichannel retailer for the first time.

ET first reported on April 4 about a secondary deal being in the offing at the eyewear startup, even as a slew of late-stage internet companies prepare to close rounds of $100 million or more.

In the latest round, other early investors in Lenskart such as TR Capital, KKR and Avendus may also look to divest a portion of their holdings, people cited said. However, SoftBank — the largest institutional investor, with 16.5% — is