Nykaa Shares Slump 5% After Likely Block Deal Worth INR 1,210 Cr

Shares of Nykaa plunged as much as 5% to INR 201 during the early trading hours today after  a large block deal.

As per a CNBC TV18 report, Nykaa shares worth over INR 1,210 Cr changed hands via the block deal.

Notably, it was reported yesterday that Harindarpal Singh Banga, founder of The Caravel Group and an early backer of Nykaa, was looking to dilute 2% to 2.5% stake in the beauty ecommerce major in a $150 Mn (about INR 1,284 Cr) block deal.

At 12:10 PM, the stock was down 4.2% at INR 203 on the BSE. Its market capitalisation stood at INR 58,051 Cr (about $6.7 Bn).

It is pertinent to note that shares of Nykaa are up 22.9% year to date. With the stake sale, Banga, who held a 4.97% stake in the company at the end of the March quarter, is likely looking to book profits.

The rise in the stock has come on the back of Nykaa’s strong financial performance. 

In Q4 FY25, the company’s profit surged 110% YoY to INR 19.1 Cr. Operating revenue for the quarter rose 24% YoY to INR 2,061.8 Cr. The increase in revenue came on the back of a strong performance by the beauty vertical, which saw its revenue grow 25% YoY to INR 1,849.8 Cr in the March quarter. 

However, Nykaa’s fashion vertical continued to lag, with revenue growing only 11% YoY to INR 161 Cr during the quarter.

In its investor day presentation last week, Nykaa said its fashion business is expected to break even in FY26, with margins projected to reach mid-single digits by FY28.

It also highlighted that its quick commerce service, Nykaa Now, which was launched in March 2025, is now live in seven cities. Nykaa delivers orders within 30 to 120 minutes under the service.