KKR invests $95m in India's Lenskart

It brings private investment in Lenskart to more than $590 million, including a $275 million round led by SoftBank Vision Fund in 2019 at an estimated valuation of $1.5 billion. TPG and TR first invested in the company as part of a $21.3 million round in late 2014. TPG re-upped the following year as part of a $58.4 million round.

TR has facilitated at least two prior exits for TPG. The secondaries specialist acquired about $18.1 million worth of shares from TPG and Unilazer in 2018, becoming the second-largest shareholder after management with an approximately 10% stake. Later that year, it joined a $70 million round that also provided an exit for TPG.

KKR is investing via its fourth Asia fund, which closed last month at $15 billion. The plan is to expand Lenskart’s digital and omni-store capabilities while scaling operations overseas leveraging KKR’s experience in the sector. KKR’s previous investments in this space include US players National Vision and 1-800 Contacts.

“I feel we are still scratching the surface and have a lot of work to do over the next 10 years in India and globally,” Peyush Bansal, CEO of Lenskart, said in a statement. “In the next five years, we aspire to have 50% of India wearing our specs.”

Founded in 2010, Lenskart claims to be the largest service provider for eyewear in India, serving more than seven million customers annually through online and mobile channels, as well as 730 stores in 175 cities. This compares to about 500 stores in 70 cities as of September 2019.

Bansal describes Lenskart’s target market as including 600 million people in India in need of vision correction and 4.5 billion globally. In 2019, the company expanded into Singapore, where it now claims to be a key player in the broader Southeast Asian market. It also has a presence in the US and the United Arab Emirates.

Technology is central to the offering and business model. Digital offerings include a virtual 3D try-on tool, artificial intelligence-enabled facial mapping and frame recommendation, and smart physical omni-channel stores. This has been augmented by footfall tracking beacons, heat maps, and demographic analytics, as well as intelligent logistics and inventory management systems.

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• Topics
• South Asia
• Consumer
• Healthcare
• Technology
• Expansion
• Exits
• Trade sale
• India
• KKR
• TR Capital
• TPG Capital