Mon Dec 16 07:31:06 UTC 2024: ## Purple United Kids IPO Overwhelmed by Demand, Oversubscribed 160 Times
**MUMBAI, December 15, 2024** – The initial public offering (IPO) of children’s fashion brand Purple United Sales Ltd. has been massively oversubscribed, closing over 160 times on Friday. The ₹32.81 crore IPO, which opened on Wednesday, saw phenomenal demand, particularly from retail investors. The offer, consisting entirely of a fresh issue of 26.04 lakh shares priced between ₹121 and ₹126 per share, was subscribed 7.58 times on its first day and 18.04 times on Thursday.
By Friday’s close, the subscription level had soared to an astounding 160.08 times. This strong interest was particularly evident in the Non-Institutional Buyers category, which was subscribed 269.70 times, while Qualified Institutional Buyers were subscribed 86.30 times.
The grey market premium (GMP) currently stands at ₹55, suggesting a potential listing price of ₹181 per share, representing a significant potential gain. However, it’s crucial to remember that GMP is speculative and not an official price indicator.
Purple United Sales Ltd., through its Purple United Kids brand, sells clothing, shoes, and accessories for children up to 14 years old. The company operates 17 exclusive stores and 20 shop-in-shop locations across India, in addition to a robust online presence. The company plans to use the IPO proceeds for expansion, working capital, and general corporate purposes.
The company reported strong financial growth, with revenue increasing by 66.91% to ₹42.91 crore in FY24 and net profit surging 222.7% year-on-year to ₹4.81 crore.
Allotment is expected on Monday, December 16, with shares credited to successful applicants on December 17. Refunds will be processed on the same day. The shares are expected to list on the NSE SME platform, Emerge, on Wednesday, December 18.
**Disclaimer:** Investments in IPOs are subject to market risks. Consult a financial advisor and thoroughly review the red herring prospectus before investing.
First Piper 