Springwel Mattresses to acquire SleepyCat
Springwel Mattresses is in advanced stages to acquire SleepyCat, a direct-to-consumer (D2C) mattress startup in a fire sale, as reported by Moneycontrol. The transaction, largely a share sale, has been in the works for a few months and is expected to close in the coming weeks, they added. In such transactions, the company and its investors get shares in the acquiring company instead of a monetary payout. “The deal between Springwel and SleepyCat is unlikely to have a cash component. The category that SleepyCat operates in is highly competitive and fundraising had become tough, so a sale to a larger player seemed like the best option” a person with direct knowledge of the matter told Moneycontrol. It is unclear if the SleepyCat team will stay on and run the business independently or become a part of the Springwel.
The Sleep Company claims 2.5X growth for the year ended March 2024
The D2C mattress and sleep solutions company, The Sleep Company, said that its revenue witnessed a growth at 2.5X for the fiscal year ended March 2024. Revenue from operations increased to ₹312.33 crore from ₹127.14 crore in FY23 as the demand for its new-age products into sleep continues unabatedly. This growth can be tracked all the way back to the company’s flagship mattress segment, accounting for sales of 65% of the total. Mattress sales grew 89% to ₹203.69 crore in FY24, reflecting the efficiency of the brand in capturing consumer interest. Apart from mattresses, The Sleep Company also retails other commodities like pillows, cushions, bedding, and office chairs. Ancillary items sales, growing 5.6 times, brought in revenue of ₹108.6 cr.
Wakefit claims EBITDA profitability in FY24
Coming off of a loss-making fiscal, Bengaluru-based D2C furniture and mattress startup Wakefit to have attained EBITDA profitability in the fiscal year 2023-24 (FY24). In a statement, the startup claimed to have registered an EBITDA profit of INR 65 Cr in the fiscal. With this, it said to have managed to return back to profitability for the first time in the past four years. Besides, it also claimed to have witnessed a 24% jump in its revenue in the fiscal, touching INR 1,017 Cr. Pertinent to note that the startup didn’t disclose the profit or loss it incurred in the fiscal. Inc42.com couldn’t independently verify the company’s financial report for FY24. “Returning to profitability with an EBITDA of INR 65 crore is a testament to the resilience of our business model and the efficiency of our operations. As we prepare for the next phase, we will focus on sustaining this profitability while scaling our business, ensuring that our long-term growth trajectory remains strong,” Wakefit’s cofounder and CEO Ankit Garg said. Founded in 2016 by Garg and Chaitanya Ramalingegowda, Wakefit offers a range of sleep and home-related products, including mattresses, pillows, bed frames, mattress protectors, sofas, study tables, bookshelves, shoe racks, and TV units.
Chemie Products receives the MSME Award
Chemie Products Private Limited has received the MSME Global Golden Business Excellence Award 2024 in the category “Manufacturer of the Year Award (SME and Small Organisation)” by MSMECCII in Vigyan Bhavan on 18th Nov. 2024.
The India mattress market is expanding rapidly, owing to several interconnected factors. Primarily, the market is driven by growing disposable incomes as well as increased urbanization, especially among middle-class households. Meanwhile, demand for mattresses with improved comfort and health advantages is rising as customers become more conscious of the value of high-quality sleep.