The Valuation Mirage – Why Lenskart’s Leap Exposes a Deeper Flaw in India’s Startup Culture”
Lenskart’s 700% valuation jump isn’t just shocking — it’s a mirror reflecting how indian startups are gaming perception, not performance.
When Lenskart jumped from a ₹8,700 crore valuation in July 2024 to a staggering ₹70,000 crore in October, the financial world gasped.
Not because startups don’t grow — but because no real-world business grows 700% in 90 days without a product breakthrough, major acquisition, or sudden monopoly.
The truth is, this isn’t about eyewear. It’s about India’s startup illusion economy, where valuations move faster than reality — powered by timing, perception, and insider calibration.
Let’s decode what might really have happened.
When Peyush Bansal bought back shares at the lower valuation, he was cleaning the cap table — reducing old investors and consolidating control. This is common before IPOs, but what’s unusual is the timing and valuation gap.
If the IPO goes through at ₹70,000 crore, Bansal’s stake becomes exponentially more valuable — on paper — before a single rupee of new profit hits the books.
In essence, it’s a financial mirage, made possible by how private valuations work.
They’re not governed by market forces — but by who’s pricing them and when.
This reveals a larger truth:
India’s startup ecosystem has mastered the art of narrative-driven valuation.
One quarter it’s “undervalued due to consolidation.”
Next quarter it’s “hyper-growth due to IPO buzz.”
Same company. Different story. New fortune.
What makes this dangerous is not one founder’s gain — it’s the precedent it sets.
When the ecosystem rewards optics over operations, founders learn to manipulate timing rather than build sustainable value.
And when regulators look away, the line between entrepreneurial genius and opportunistic arbitrage disappears.
This isn’t about Lenskart alone. It’s about every unicorn waiting in line to go public on exaggerated valuations — leaving retail investors holding the illusion.
The next time a startup’s valuation skyrockets before an IPO, maybe don’t ask “how fast they grew.”
Ask instead: “Who knew first?”
“The Valuation Mirage: What Lenskart’s ₹70,000 Crore Leap Says About India’s Startup Bubble”
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Lenskart IPO analysis, startup valuation issues, SEBI regulation, india startup culture, financial transparency
📉 “The Startup Illusion: How Valuations Are Built on Smoke and Timing”
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