In 2012, a 49-year-old Falguni Nayar started Nykaa – now one of India’s leading e-commerce websites – defying two stereotypes that are often used to define women at the workplace – age and gender.
In under 10 years of its journey, Nykaa is slated to become India’s first and only woman-led unicorn to go public. On Thursday, 28 October, Nayar, who has helped multiple companies go public, will be seeking to raise funds for her own through an IPO (initial public offering).
With price band of initial share fixed at ₹1,085-1,125 per share, Nykaa is seeking to raise $700 million through the IPO, which will value the company at over $7 billion.
Falguni Nayar, the owner of Nykaa, needs no introduction to those familiar with the richest Indian women. After Kiran Mazumdar-Shaw, Falguni Nayar is the only second Indian self-made woman billionaire. In March 2021, the Nykaa owner made plans to go in for IPO with her fashion beauty e-commerce business, which lest we mention, has become the kingpin in its category. Back then, for a June placement, Nykaa was valued at $2.3 billion, bringing Nayar’s estimated net worth in the billions with an estimation of $1.1 billion, per Forbes.
But, while that was a little earlier in the year, Nykaa’s valuation has grown over the past few months. The e-commerce website has been in business all through the pandemic with the rise of online shopping since buyers were confined to their homes. Since Falguni Nayar is planning the Nykaa IPO, here’s what her net worth figures look like.
Nykaa owner billionaire Falguni Nayar is all set to triple her net worth to an estimated Rs 28,000 crore
Nykaa owner Falguni Nayar is not new to the numbers game. The former veteran banker, who turned entrepreneur with Nykaa, has led many companies to their successful IPO. Hence, achieving one for her own company isn’t the most daunting task the 58-year-old has faced.
Nykaa, which offers more than 4,000 brands across the beauty, personal care and fashion platforms, is looking to deepen its presence in the Indian beauty and fashion market which is expected to more than double to $152 billion in 2025 from $70 billion in 2020, according to Bangalore-based RedSeer Management Consulting.
Under Fire for Toxic Work Culture
But Nykaa’s success story also has some unsavory bits. In June 2020, anonymous accounts of current and former employees called out the beauty e-commerce company for harassment.
Several accounts of unsympathetic and toxic work culture made headlines.
The Nayar-led company has also been criticized multiple times by beauty and fashion watchers for ‘duping’ and ‘copying’ of international brands.
FSN E-Commerce Ventures Ltd, the parent company of Nykaa, will open for subscription on 28 October and close on 1 November.
The company will reportedly use net proceeds from the issue to invest in FSN Brands and Nykaa Fashion. It also aims to set up new retail stores at the cost of Rs 42 crore, various reports stated.
Nayar and family will, however, continue to hold a stake in the parent company, which is one of India’s few profitable unicorns, unlike many other start-ups.