Alpha Wave might sell 1.6% stake in Lenskart for ₹1,691cr
What's the story
Global investment firm Alpha Wave Ventures LP is planning to sell up to a 1.6% stake in omnichannel eyewear retailer Lenskart via a block deal, CNBC-TV18 reported citing sources. The base offer size has been pegged at ₹966 crore or nearly 0.9% of the company's total equity. The deal also has an upsize option for an additional 0.7% stake worth ₹725 crore, taking the total transaction value to ₹1,691 crore.
Pricing details
Floor price set at ₹640 per share
The floor price for the block deal has been set at ₹640 per share, which is a discount of 5.56% to the stock's closing price on the National Stock Exchange (NSE) on Friday.
Lenskart Solutions shares had settled at ₹676.80 on October 9.
The seller will be subject to a 30-day lock-in period on any further sale of shares after this transaction.
Recent sales
Alpha Wave Ventures had previously sold shares in Lenskart
This is not the first time institutional backers are reducing their stake in Lenskart.
In late August, Alpha Wave Ventures had sold 2.95 crore stocks or a 1.7% equity stake in the company for ₹1,857 crore at an average price of ₹630 per share.
The transaction was acquired by institutional investors such as National Pension System (NPS), ICICI Prudential Mutual Fund, and WhiteOak Capital Mutual Fund.
Market activity
Stake sales by other institutional investors
On September 21, some 3.6 crore shares or 2.07% equity of Lenskart Solutions worth ₹2,468 crore were traded at ₹688 per share after Platinum Jasmine A 2018 Trust, an investment arm of Abu Dhabi Investment Authority (ADIA), decided to cut its stake.
Before that, on August 24, SoftBank Vision Fund II sold a 2.59% stake for ₹2,887.9 crore at ₹641.75 per share, with Societe Generale among the buyers.