Luxury fashion house Purple Style Labs files DRHP with SEBI for Rs 660 crore IPO

Purple Style Labs (PSL), the parent company of luxury fashion platform Pernia’s Pop-Up Shop, has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO).

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The issue will consist solely of a fresh equity raise of up to Rs 660 crore, with no offer-for-sale component. PSL may also undertake a pre-IPO placement of up to Rs 130 crore, which would proportionately reduce the fresh issue size.

The proposed shares will be listed on both the NSE and BSE. Axis Capital and IIFL Capital Services are the book-running lead managers, while Kfin Technologies will serve as registrar.

According to the DRHP, the largest portion of proceeds, Rs 363.3 crore, will be infused into PSL Retail, a wholly owned subsidiary, for lease liabilities tied to expanding and maintaining experience centres as well as back-end offices across India. Another Rs 128 crore will be allocated to sales and marketing initiatives, with the remainder reserved for general corporate purposes.

Leased properties remain a major cost driver for the company. Earlier this year, PSL rented Mumbai’s historic Ismail Building, once occupied by Zara, with a reported daily rent of Rs 10 lakh.

Founder and CEO Abhishek Agarwal holds a 27.1% stake in the company ahead of the issue. Promoter group members Payal Kumari Agarwal and Priyanka Agarwal collectively own less than 1%. Other shareholders include Volrado Venture Partners (2.9%), Singularity Growth Opportunities Fund (1.93%), and Abhinav Agarwal (2.25%).

PSL has raised about $78 million in private equity funding to date, including a $40 million (Rs 332 crore) Series E round in March 2025 led by SageOne Flagship Growth OE Fund and Alchemy Long Term Ventures Fund, with participation from celebrities Salman Khan and Sachin Tendulkar.

Founded in 2015, PSL positions itself as an omnichannel luxury fashion house. Its portfolio includes Pernia’s Pop-Up Shop and Studio, as well as designer brands Wendell Rodricks and Hemant Trevedi. The company showcases offerings from leading designers such as Seema Gujral, Anushree Reddy, Amit Aggarwal, and Rohit Gandhi Rahul Khanna, spanning categories including wedding and occasion wear, menswear, and accessories.

For FY25, PSL reported operating revenue of Rs 490 crore, a 3% decline from Rs 504 crore in FY24. Losses, however, widened nearly fourfold to Rs 188.5 crore, compared with Rs 47.7 crore the previous year. The surge in losses was largely attributed to ESOP-related expenses of Rs 122.7 crore.