Purple United Sales Limited is set to launch its initial public offering (IPO) from December 11 to December 13, 2024, aiming to raise approximately ₹32.81 crore. The IPO will consist of a fresh issue of about 26.04 lakh shares, priced between ₹121 and ₹126 per share, with a minimum order quantity of 1,000 shares. Founded in 2014, Purple United Sales specializes in premium apparel and footwear for children, operating under the brand “Purple United Kids.” The company has established a strong distribution network through exclusive brand outlets and major e-commerce platforms.
₹80
₹126
₹199
Expert Opinions
Market sentiment for the Purple United Sales IPO is optimistic, driven by the growing demand in the children’s apparel sector. Company strengths include a diverse product range that caters to children aged 0 to 14, along with a strong distribution network through exclusive brand outlets and major e-commerce platforms like Amazon and Myntra. However, risks and challenges involve competition from established brands and potential fluctuations in consumer spending on discretionary items.
The valuation analysis places the IPO price between ₹121 and ₹126 per share, which reflects a reasonable entry point given the company’s earnings growth. From a long-term investment perspective, Purple United Sales is well-positioned to capitalize on the increasing focus on quality children’s fashion.
Investor Considerations
Investors considering the Purple United Sales IPO should evaluate several important factors. Company performance and fundamentals demonstrate significant growth, with revenue increasing from ₹1,656.19 lakh in FY22 to ₹4,219.59 lakh in FY24, showcasing the company’s strong market position in children’s apparel. The sector outlook is favorable, as the demand for quality children’s clothing continues to rise in India, driven by changing consumer preferences. The IPO valuation is set between ₹121 and ₹126 per share, making it accessible to retail investors with a minimum investment of ₹126,000 for one lot.
Growth prospects are promising, with plans for expanding retail presence and product offerings across various platforms. However, potential risk factors include competition from established brands and economic fluctuations affecting discretionary spending. A long-term investment horizon is advisable, as Purple United Sales is well-positioned to capitalize on the growing children’s fashion market.
| Date | GMP | Trend |
|---|---|---|
| 17 Dec 2024 12.16 | ₹80 | Up |
| 16 Dec 2024 17.54 | ₹70 | --- |
| 15 Dec 2024 13.25 | ₹70 | --- |
| 14 Dec 2024 17.23 | ₹70 | Up |
| 13 Dec 2024 11.23 | ₹50 | --- |
| 12 Dec 2024 12.34 | ₹50 | --- |
| 11 Dec 2024 11.01 | ₹50 | Up |
| 10 Dec 2024 11.15 | ₹20 | --- |
| 09 Dec 2024 16.53 | ₹20 | --- |
| 06 Dec 2024 10.53 | ₹20 | Up |
| 05 Dec 2024 10.48 | ₹00 | --- |
| 04 Dec 2024 10.57 | ₹00 | --- |
| 03 Dec 2024 12.42 | ₹00 | --- |
FAQs
The Grey Market Premium showed strong accuracy in predicting Purple United Sales’ listing performance. The GMP of ₹80 predicted a premium of 63.49% over the issue price, while the stock delivered a similar gain of 57.94%. With a small prediction error of 3.40%, the GMP effectively captured both the direction and approximate magnitude of the listing gains, proving to be a reliable indicator in this case.
Purple United Sales IPO Current GMP is ₹80.
Purple United Sales IPO Expected Returns is 63.49%.
Purple United Sales IPO estimated listing price is ₹206.