Purplle, an online retailer of beauty and personal care products has raised $50-60 million from Abu Dhabi Investment Authority (ADIA), two people aware of the matter said.
The persons cited above, who spoke on the condition of anonymity, stated that the investment was primarily made through secondary transactions as some of Purplle’s early investors decided to exit. According to the sources, the investment was made at a valuation of $1.1 billion, which is the same as the $33 million in primary funds Paramark Ventures invested in June 2022.
One of the two persons stated that the latest investment also includes a small primary element that the company plans to employ to increase its physical footprint as part of its omnichannel strategy.
“The company wants to have a phygital (physical plus digital) presence across the key metros and tier I cities and will increase its physical touch points through its private label kiosks,” the person said. “It is also looking to acquire a couple of brands to stay in the game,” he added.
Purplle, a company that offers a variety of beauty and personal care (BPC) products, was established in 2012 by Manish Taneja and Rahul Dash. According to the company, the value of goods sold, or the gross merchandise value, was $180 million in FY22.
The company, which competes with Nykaa, saw its revenue from operations grows ₹219.88 crore in FY22, up 72% from ₹128.15 crore a year earlier, its regulatory filings show. Losses widened to ₹203.63 crore in FY22 from ₹52.18 crore in the previous year.
“The company has been able to contain its burn and is moving towards turning profitable in the current financial year. The investors are betting big on this emerging category,” the second person cited above said.