The overwhelming response received by fashion brand Nykaa in the stock market has given a lot of hope to many other female-led Indian startups. Falguni Nayar is the leader of the first female-led unicorn in India and has risen to the rank of the country’s richest female billionaire, with a net worth of $6.5 billion.
On November 10, the shares of FSN E-Commerce Ventures, which own Nykaa, were listed at a huge premium of more than 79 percent compared to an issue price of Rs 1,125. The stock price of Nykaa zoomed to Rs 2,012 within a few minutes of listing, giving mind-boggling returns to all investors who are able to get hold of Nykaa stocks during IPO.
According to the Bloomberg Billionaires Index, Nayar has surpassed Biocon founder Kiran Mazumdar–Shaw in terms of assets and is now the second richest woman in India.
According to Forbes India Rich List, she is now wealthier than Harsh Mariwala (Muthoot Finance founder) and Asian Paints’ Abhay Vakil.
Pankaj Patel Chairman of Cadila Health Care, InterGlobe Aviation’s Bhatia Family, and Alkem Laboratories’ Singh Family are all among the people who rank below Nayar on this rich list.
The Nykaa stock was listed at Rs 2,001. This is a leap of 77.86% on the BSE. The stock then jumped 89.24% to Rs 2,129. It was listed on the NSE at Rs 2,018 with a premium of 79.37%.
FSN’s value reached Rs 1 trillion ($13.5 Billion) within five minutes of trading on Wednesday. FSN E-Commerce Ventures’ initial share sale was subscribed 81.78x earlier in the month.
The Nykaa IPO was worth Rs 5,352 crore and had a share price of Rs 1,085 – 1,125. The IPO gains have excited the retail investors who are now actively looking to place bets on other upcoming startup IPOs, including Paytm which was launched on November 8 with an issue price of Rs 2,80 – 2,150.
Nayar, an ex-investment banker, became an entrepreneur only a few months after turning 50. The e-commerce platform, which sells beauty and personal care products via its mobile app and website, was launched by Falguni Nayar in 2012.
Nayar stated that she hoped the Nykaa Journey – an Indian-owned, and Indian-managed dream come true – could inspire everyone.