HomeArticleNykaa Founder, Falguni Nayar Becomes India’s Wealthiest Self-made Billionaire

Nykaa Founder, Falguni Nayar Becomes India’s Wealthiest Self-made Billionaire

- Advertisement -

Falguni Nayar, Nykaa’s founder became India’s 7th wealthiest self-made female billionaire in an ongoing initial public offering (IPO). Soon after the markets opened on November 10, Nykaa shares were being listed at Rs. 2,018 with around 80% premium.

The market cap of the beauty and fashion retailer hit an overall valuation of 1 trillion rupees in the first five minutes of trade, according to the Bloomberg news agency.

Within an hour and a half, Nykaa’s market cap had already matched industry giants such as Britannia, Godrej, and IndiGo.

While Nykaa has changed Indians’ outlook from making do with just a lipstick and kajal eyeliner, “we have a long way to go,” Nayar told Bloomberg ahead of the IPO. Women — and even men — in the country of 1.3 billion people are just beginning to open their wallets to splurge on make-up and grooming products. 

Nykaa IPO: The fourteenth-most subscribed offer of the year

  • FSN E-Commerce Ventures is the operator of Nykaa and Nykaa Fashion chain.
  • FSN E- Commerce ventures made a bumper debut as the stock listed with a massive 80 % premium.
  • Retail portion fully subscribed within an hour of opening.
  •  According to NSE data, individual investors had applied for 55,47,960 shares against the quota of 47,53,187 shares by the noon. This translated to an oversubscription of 1.17 times.
  • The IPO was subscribed 81.7 times at the end of day three, after subscription of 1.5 times and 4.8 times at the end of first and second.

Did Nykaa IPO pique your interest? Here is a look back at the history of Nykaa.

Whenever we hear the word NYKAA, words like brands, beauty, and fashion come in our mind.

Everything you need to know about Nykaa

 What is Nykaa?

Nykaa is an Indian online beauty store, founded by Falguni Nayar in 2012 and headquartered at Mumbai. Being India’s largest omnichannel beauty destination, it has millions of happy customers across the country. Its vision is to bring inspiration and joy to people, everywhere, every day.

Nykaa

Nykaa operates with a mission to create a world where its consumers have access to a finely curated, authentic assortment of products and services that delight and elevate the human spirit.

What does the word ‘Nykaa’ mean?

The word Nykaa is derived from the Sanskrit word ‘Nayaka’. The word ‘Nayaka’ means actress or the one in the spotlight. Nykaa is all about celebrating the star in each woman and being her confidante and companion as she embarks on her own journey to discover her unique identity and personal style.

How Nykaa created History

·        2015

Nykaa, which was founded in the year 2012, decided to expand its business in 2015.

This was the year, when Nykaa went from online to an omnichannel model and started selling fashion apparel.

·        2018

The company launched ‘Nykaa Man’ – India’s first multi-brand e-commerce store for men’s grooming in the year 2018.

At the time of Nykaa Man launch, Nykaa’s Chief Business Officer, Nihir Parikh was quoted as saying, “About 15% of our social followers are men and about 20% of our traffic comes from men and male products. A significant focus of the product selection will be on men’s fragrances, luxury skincare and premium natural products as well. Currently a small category, men’s grooming contributes about 2% of the firm’s overall revenues. However, Nykaa expects the portal to grow to about 10% of the firm’s overall revenues in a couple of years,”.

Soon after, Nykaa launched Nykaa design studio which was later renamed as Nykaa fashion.

·        2020

Nykaa introduced Nykaa Pro in 2020.

Nykaa Pro is a premium membership program that offers its users special access to professional beauty products and discounts via Nykaa app.

To make the fashion business omnichannel, the company launched its first store in Delhi. As of 2020, Nykaa was valued at ₹85 billion (US$1.1 billion) making it the first unicorn startup headed by a woman in India.

In 2020, Nykaa was retailing over 2,000 brands and 200,000 products across its platforms.

Partnership and Acquisition

  • Nykaa acquired the 20dresses.com private women’s styling platform, in May 2019.
  • In the same year, Nykaa launched its first celebrity partnership brand with Katrina Kaif named as ‘Kay beauty’. 
  • 2021 saw the acquisition of the Indian fashion jewellery brand- Pipe Bella by Nykaa.
  • Nykaa further acquired Dot & Key wellness on October 22, 2021 at a cost of ₹50 cr. The company owned the 51 % stake in Dot & Key Wellness Private Ltd through the subscription and purchase of equity shares.

What Falguni Nayar, Founder and CEO of Nykaa said about Nykaa

“The customer may be common and we could obtain synergies between our sites, but we want to be a demand-led retailer, not a ‘push’ retailer.

We are a multi-brand retailer, with more than 150 brands listed with us. We believe private labels in fashion will have a far higher percentage share than beauty, and could contribute up to 40% as the business grows. We don’t want to be a discount-led fashion website; we would rather be a curated, style-led one.”

- Advertisement -
Mansi Gupta
"Fair and virtuous, Royal and gracious", this is how she represent herself. Hailing from the city of temples Jammu, she completed her studies in Himachal Pradesh. Being a student of journalism and mass communication, she was always passionate about writing and speaking. She has also worked as a news anchor and reporter for digital platforms. Currently, she is working as a full-time content writer. She strongly believes in the 'power of writing' as those little words make a huge difference.
RELATED ARTICLES

Subscribe to our newsletter

To be updated with all the latest news, offers and special announcements.

- Advertisment -

Most Popular