Young fashion retailer Blue Inc is understood to be eyeing a £50m to £60m stock market valuation if it successfully lists at the end of the year.

The retailer, which confirmed it is gearing up for an IPO at the end of 2010 or beginning of 2011, is in the “early stages” of planning the listing, according to managing director Steven Cohen. He would not comment on the valuation figure.

Blue Inc would follow in the footsteps of SuperGroup, which floated last month, although its valuation would be much smaller than Supergroup’s £395m. It is not clear which market Blue Inc plans to list on.

Cohen said potential investors would be attracted by the retailer’s international growth plans and its intention to grow its online business.

He said: “The business has increased sales 20% year on year since we bought it four years ago and increased profit twentyfold. There is a wonderful growth story.”

In the past three years Blue Inc sales rose from £17m to £56m and EBITDA from £150,000 to £2.8m.