Nykaa Shares Jump 3% After OpenAI Partnership

Nykaa shares: Shares of FSN E-Commerce Ventures, the parent company of Nykaa, rose more than 3% in early trade on Wednesday after the beauty and fashion retailer announced a partnership with OpenAI.

Nykaa's share price climbed 3.12% to ₹281.10 during the session. At around 11 AM, the stock was trading near ₹278.90, up about 2.5% from the previous close.

As of 17 Jun2 2026, 11 AM

 Why Are Nykaa Shares Rising Today?

The rally comes after Nykaa announced a multi-year collaboration with OpenAI, the company behind ChatGPT.

Under the partnership, Nykaa Beauty and Nykaa Fashion will become connected apps within ChatGPT. This means users will be able to discover products, seek recommendations, and explore Nykaa's catalogue directly through conversations on ChatGPT.

For example, a user looking for skincare products, fashion suggestions, makeup recommendations, or fragrances can receive personalised guidance within ChatGPT and then shop through Nykaa.

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What Does The OpenAI Partnership Mean For Nykaa?

The partnership gives Nykaa access to one of the world's fastest-growing consumer AI platforms.

The move could create a completely new customer acquisition channel for Nykaa while increasing visibility for both its in-house brands and hundreds of partner brands available on the platform.

The companies have not disclosed the financial details of the agreement, but the partnership will be rolled out in multiple phases over several years.

Nykaa To Expand Use Of AI Across Its Business

The collaboration is not limited to shopping. Nykaa plans to deploy ChatGPT Enterprise across several functions, including:

• Marketing

• Customer support

• Legal

• Finance

• Supply chain

• Operations

The company also plans to use OpenAI's Codex coding agent to improve software development and engineering productivity.

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Nykaa's Existing AI Initiatives

The latest partnership builds on Nykaa's existing artificial intelligence efforts. The company already offers several AI-powered tools, including:

• Skin Scan

• Virtual Try-On

• Ask Nykaa

• Nykaa Muse

These tools help customers discover products, receive recommendations, and improve their online shopping experience.

Conclusion: Why Investors Are Watching This Deal

The announcement comes as OpenAI continues expanding its commerce ambitions through initiatives such as "Buy it in ChatGPT" and partnerships with merchants across multiple platforms.

As of March 31, 2026, Nykaa served more than 55 million customers through its online platforms and operated 313 offline stores across India.

Investors appear optimistic that deeper integration with ChatGPT could improve customer engagement, enhance product discovery, and support Nykaa's long-term growth strategy.