The share price of cosmetics-to-fashion online platform Nykaa nearly doubled in a dramatic debut on Wednesday, which saw the value of country's first women-led unicorn soaring past the Rs 1 lakh crore mark.
Shares of FSN E-Commerce Ventures , the company that owns the Nykaa brand, ended at Rs 2,205.80. The issue price of the share in the IPO was Rs 1,125.
Nykaa's investors include private-equity firm TPG, Fidelity and Bollywood stars Alia Bhatt and Katrina Kaif.
"Nykaa is one of the very few profitable new-age companies and the first women-led unicorn that has also attracted a lot of investor interest," said Sneha Poddar, assistant vice-president, retail research at Motilal Oswal Financial Services.
The startup runs its online operation through mobile applications and websites along with 80 brick-and-mortar stores in India, as of Aug. 31.
The valuation of Nykaa exceeded even food delivery startup Zomato’s phenomenal debut in July.
However, some market analysts were of the view that the startup's valuations look expensive at these levels despite the good long-term growth prospects.
Nykaa was founded by former investment banker Falguni Nayar, who was Managing Director of Kotak Mahindra Capital Company in the past. She is currently on board of Aviva Insurance, Dabur India and an independent member on the Tata Motors Board.
