Early Nykaa investor to offload $150-million stake via block deal

Harindarpal Singh Banga, founder of Hong Kong-based diversified conglomerate The Caravel Group, and one of Nykaa’s early investors, is set to sell a 2-2.5% stake in the beauty and fashion retailer in a $150-million (around Rs 1,200–1,300 crore) block deal, people briefed on the matter told ET.

Banga, who has been gradually reducing his holding, currently owns nearly 5% of Nykaa.

The shares are being offered at a 4% discount to Wednesday’s closing price of Rs 211.80 on the BSE, one of the sources said, adding that the buyers are foreign institutional investors (FIIs).


As of Wednesday, Nykaa’s market capitalisation stood at Rs 60,568 crore.

Last August, Banga sold a 1.43% stake for Rs 851 crore via an open market deal. Prior to Nykaa’s IPO in November 2021, he held an 8.7% stake. The company’s promoters, the Nayar family, continue to own 52% and have not sold any shares since the listing.

FSN E-Commerce, Nykaa’s parent company, reported a net profit of Rs 19 crore for the quarter ended March 31, 2025, nearly double its profit in the same period last year. Operating revenue rose 23.6% year-on-year to Rs 2,016.7 crore, up from Rs 1,667.9 crore, driven by customer acquisition, brand partnerships, and network expansion.

The performance was in line with its guidance in April, when it projected consolidated net revenue growth in the low to mid-20% range for the March quarter.

In a June interview with ET, Nykaa cofounder and executive director Adwaita Nayar said the company was taking a cautious approach to quick commerce. Nykaa has been piloting its quick commerce service, Nykaa Now, in select pin codes in Mumbai, Delhi, and Bengaluru since last year.

Nykaa did not respond to ET’s queries at the time of publication.