D2C bizset to thrive on mkt momentum
Lenskart’s D2C unit, GlobalBees in talks to raise funds at unicorn valuations
NEW DELHI: The planned direct to-consumer (D2C) platform of online eyewear retailer Lenskart and Thrasio-style investment venture Global Bees are in separate discussions to raise funds at unicorn valuations, underscoring robust investor interest in the evolving D2C space in India, two people familiar with the development said.
Lenskart plans to launch the D2C platform and carve it out as a separate unit while raising an undisclosed sum from New York-based Falcon Edge, both the people said on condition of anonymity.
Falcon Edge is an existing investor in Lenskart. The latter plans to use the fresh capital to build other D2C offerings in eye care and eye fashion, the people said.
Meanwhile, Global Bees is in to raise $300 million in a round led by SoftBank, and with participation from homegrown private equity firm Chrys Capital at a valuation of a little more than $1 billion, the people cited above said.
Global Bees is a Thrasio-style venture that aggregates and invests in e-commerce brands.
Lenskart, Global Bees, Falcon Edge, SoftBank, and Chrys Cap did not respond to email queries.
India got its first D2C unicorn earlier this month when meat brand Licious pocketed $52 million from IIFL AMC’s Private Equity Fund.
Lenskart has raised a slew of funding rounds in the past years. This July, it raised $220 million from investors, including Temasek Holdings Pte and Falcon Edge, taking its valuation to $2.5 billion.
Founded by Peyush Bansal in 2010, Lenskart sells eyeglasses, contact lenses and sunglasses online and through about 750 retail outlets across India. It plans to use the funds raised in the July round, along with $95 million raised in May from KKR & Co. to expand online sales and add brick-and-mortar stores in the country, South-East Asia and the Mdiddle East.
Lenskart claims to be the largest eyewear seller in India and seeks to become the leader in its new markets of South-East Asia and the Middle East. The combined market opportunity in India and its overseas markets is projected at more than $15 billion by 2025, according to Lenskart. The company expects to sell about 10.5 million pairs of eyewear by March 31.
GlobalBees, too, raised $150 million in a mix of equity and debt this July. The round was led by FirstCry. Other investors in the round included Vikas Agnihotri of SoftBank, Harsha Kumar of Lightspeed, Atul Gupta of Premji Invest, Sudhir Sethi of Chiratae Ventures and Kshitij Sheth of Chrys Capital.
GlobalBees was founded by First Cry founder Supam Maheshwari and a former executive at Edelweiss Financial Services Nitin Agarwal earlier this year. The company said at the time that it plans to partner with digitally native brands across categories such as beauty and personal care, home, kitchen, food, nutrition, sports, and lifestyle, with a revenue rate of $1 million to $20 million.
Besides making strategic investments, GlobalBees plans to help the brands scale and diversify their digital footprint through D2C channels. It also plans to support product development, branding and other key activities such as warehousing and logistics.
Earlier this month, GlobalBees acquired Matrix Partnersbacked And Me in its second acquisition in less than two months. In August, GlobalBees acquired the homecare brand The Better Home.