The company plans a partial exit for investors including peak XV, Investcorp and founders via 5.8 crore share OFS
Proposing to raise Rs 468.2 crore through a fresh issue of shares, Wakefit, a sleep and home solutions startup, has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) on Friday.
Alongside the fresh issue, existing investors—Paramark Ventures, Investcorp, Verlinvest SA, Redwood Trust, and Peak XV Partners—as well as founders Ankit Garg and Chaitanya Ramalingegowda, will offload a portion of their stake through an offer for sale (OFS) of 5.8 crore shares.
The overall IPO size is expected to range between Rs 1,500 crore and Rs 2,000 crore (approximately USD 200 million), including both the primary and secondary components.
Axis Capital, IIFL Capital Services, and Nomura have been appointed as the advisors for its IPO. Founded in 2016 by Garg and Ramalingegowda, Wakefit started as a direct-to-consumer mattress company and gradually expanded into a broader range of home furniture and furnishings, including cots, tables, and chairs.
The company competes in a growing market against players such as The Sleep Company (backed by Premji Invest), WoodenStreet (funded by Westbridge), and global furniture giant IKEA.
Wakefit reported total income of Rs 1,000 crore for FY24, with revenue growing at 24.87 per cent CAGR from FY22 to FY24. Its mattresses business generated Rs 567.52 crore in FY24, while furniture and furnishings contributed Rs 301.22 crore and Rs 117.62 crore, respectively.
