Purplle Secures $45 Million in Series D Funding

Purplle, a leading Indian e-commerce platform specializing in beauty products, announced on Monday the successful completion of a $45 million financing round.

This new capital injection will be utilized to bolster the company’s market position within India, the world’s second-largest internet market.

Funding Details and Valuation

The Series D funding round was spearheaded by Sequoia Capital India, alongside contributions from existing investors including Verlinvest, Blume Ventures, and JSW Ventures.

Sources indicate that this funding round has elevated Purplle’s valuation to approximately $300 million.

This represents a significant increase from its $150 million valuation during the 2019 Series C round.

Investor Exit and Continued Confidence

The round facilitated a partial exit for IvyCap Ventures, which initially invested $2 million in Purplle back in 2015.

IvyCap Ventures reported a substantial 22x return on its investment, equivalent to 1.35x of its entire Fund 1.

Vikram Gupta, founder and managing partner of IvyCap Ventures, affirmed their continued belief in the company’s potential and their decision to maintain a stake through Fund 2.

Purplle’s Growth and Market Presence

Established eight years ago, Purplle.com offers a diverse catalog of nearly 50,000 products sourced from over 1,000 brands.

The platform currently boasts a substantial user base of 7 million monthly active users.

Strategic Investment and Future Outlook

Manish Taneja, co-founder and chief executive of Purplle, highlighted the company’s consistent growth, achieving a GMV CAGR exceeding 90% over the past three years, even amidst the challenges of the COVID-19 pandemic.

He also noted the successful scaling of their private label brand, Good Vibes, which has already reached a revenue of INR 150 Cr ($20.7 million).

Taneja stated that the investment will be instrumental in transforming Purplle into a multibillion-dollar, digital-first beauty and personal care enterprise.

India’s Expanding E-commerce Landscape

Purplle’s growth mirrors the broader expansion of the e-commerce sector in India, with an increasing number of consumers opting to purchase fashion and beauty products online.

Notably, MyGlamm, another omnichannel direct-to-consumer Indian brand, recently secured $24.2 million in funding co-led by Amazon.

Sequoia India’s Perspective

Sakshi Chopra, Principal at Sequoia India, expressed excitement about partnering with Purplle.

She believes the company has successfully established a strong model for value retailing in the beauty sector, characterized by high customer retention, low CAC, a broad brand assortment, and a compelling private label portfolio.

Sequoia India anticipates Purplle will become a leading beauty destination as online penetration increases from 10% to over 25% in the coming decade.