JSW Ventures has successfully divested its stake in Purplle by selling it to the Manipal Education & Medical Group Family Office (MEMG). This strategic move has yielded an impressive 2.7x return on their initial investment from JSW Ventures Fund I.
In 2023, this marks the second consecutive secondary transaction for the online beauty marketplace. In May, JSW Ventures partially divested its stake in the company to the Abu Dhabi Investment Authority (ADIA), resulting in a 2x return for the venture capital firm.
JSW Ventures made its initial investment in Purplle during the company’s Series A round in 2016, using its Fund I. Notably, JSW has maintained its investment in Purplle through its second fund.
In June 2022, Purplle secured $33 million in funding during its Series E round, with investments coming from South Korea’s Paramark Ventures, alongside its existing backers including Blume Ventures, Kedaara, and billionaire Azim Premji’s Premji Invest. Following this round, the company achieved unicorn status, boasting a valuation of $1.1 billion.
Under the leadership of Manish Taneja, the company primarily operates as a marketplace, though it also features its own brand labels like “Good Vibes.” Its main competitor is Nykaa, a publicly traded company, while it faces indirect competition from broad-ranging marketplaces such as Amazon, Flipkart, and the Good Glamm Group, among others.
In the fiscal year 2022, Purplle’s revenue from operations increased by 71.6% to INR 219.88 crore from INR 128.15 crore in FY21. According to data from the intelligence platform TheKredible, the company witnessed a significant rise in losses, with a 3.9-fold increase to INR 203.63 crore in FY22. The firm has not yet reported its financial figures for FY23.
In the fiscal year 2022, Purplle’s revenue from operations increased by 71.6% to INR 219.88 crore from INR 128.15 crore in FY21. According to data from the intelligence platform TheKredible, the company witnessed a significant rise in losses, with a 3.9-fold increase to INR 203.63 crore in FY22. The firm has not yet reported its financial figures for FY23.
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