Purple Innovatio Stock Price, News & Analysis

Purple Innovation, Inc. (NASDAQ: PRPL) has rejected a $4.35 per share unsolicited acquisition proposal from Coliseum Capital Management, which holds approximately 44% of Purple's outstanding shares. The Special Committee, comprising independent directors, determined that the proposal did not reflect the company's value or future prospects. They believe its rejection is in the best interests of Purple and its shareholders, asserting confidence in creating more shareholder value under the new leadership team. Financial and legal advisors supported the review process.

Purple Innovation, Inc. (NASDAQ: PRPL) announced its participation in the 2023 ICR Conference, scheduled for January 9, 2023, at 2:00 p.m. Eastern Time. The event will be broadcast live online, providing investors with insights into the company's comfort innovation strategies and product offerings, including the renowned Purple® Mattress. For further details, the presentation can be accessed at investors.purple.com.

AWH Capital, LP, a stockholder of Purple Innovation, urges the company's board to reject an acquisition proposal from Coliseum Capital Management, claiming it undervalues Purple. Despite industry challenges, Purple achieved quarterly profitability and enhanced its operations under CEO Rob DeMartini. The company has focused on efficient marketing strategies, optimized manufacturing, and is set to launch new products that aim to diversify offerings and lower input costs. AWH Capital expresses confidence in Purple’s competitive position within the gel grid segment of the mattress market.

Purple Innovation, Inc. (NASDAQ: PRPL) reported a third quarter net revenue of $143.3 million, down 16.1% year-over-year but stable compared to the previous quarter. Direct-to-Consumer (DTC) sales saw a significant decline of 25%, while wholesale revenue increased by 1.3%. Gross margin improved to 41.5%, up from 35.8% in the previous year. Operating income turned positive at $1.3 million, contrasting with losses in the past two quarters. The company raised its full-year Adjusted EBITDA outlook to $2-$7 million due to improved profitability, albeit cautious for Q4 due to high advertising costs.

Purple Innovation, Inc. (NASDAQ: PRPL) will announce its third quarter 2022 financial results on November 9, 2022, at approximately 4:05 p.m. ET. A conference call is scheduled for 4:30 p.m. ET the same day to discuss the results. Interested participants can join by dialing (888) 394-8218 (domestic) or (646) 828-8193 (international) using Conference ID: 6449123. A live webcast will also be provided on investors.purple.com. A replay will be available until November 23, 2022.

Purple Innovation, Inc. (NASDAQ: PRPL) has appointed Keira Krausz as Chief Marketing Officer, effective November 1, 2022, succeeding Patrice Varni. Krausz brings extensive marketing experience, having previously served at HealthPlanOne and Nutrisystem, where she significantly increased revenue and EBITDA. CEO Rob DeMartini expressed confidence in Krausz's ability to enhance marketing strategies to drive growth. Upon her appointment, Krausz will receive a $400,000 equity grant with performance-based units. This leadership change aims to bolster the company's marketing efforts and overall business performance.

Purple Innovation, Inc. (NASDAQ: PRPL) announced the formation of a special committee following an unsolicited takeover proposal from Coliseum Capital Management. The proposal suggests acquiring outstanding shares at $4.35 each. To evaluate this, the committee has adopted a limited-duration shareholder rights plan effective from September 25, 2022, set to expire on September 25, 2023. This plan aims to protect shareholder interests and ensure fair value in potential transactions. Coliseum currently holds approximately 45% of Purple's shares, with no definitive conclusion on the proposal's feasibility yet.

Purple Innovation, Inc. (NASDAQ: PRPL) announced receiving an unsolicited proposal from Coliseum Capital Management to acquire the company at $4.35 per share. This proposal was confirmed on September 17, 2022. The Board of Directors is currently reviewing the offer to decide the best course of action for Purple and its shareholders. Purple is recognized for its innovative comfort products, including the patented Hyper-Elastic Polymer® used in its mattresses and other offerings.

Purple Innovation has announced the acquisition of Intellibed, enhancing its luxury mattress offerings and consolidating Gel Grid technology under one brand. This strategic move aims to cater to the high-demand luxury segment, expanding Purple's market presence with mattresses priced from $1,399 to over $7,000. The acquisition is anticipated to accelerate product development, increase revenue potential, and leverage Purple's marketing strength. The new luxury line is expected to launch early next year, aligning with a notable increase in consumer interest in Gel Grid technology.