Source: Entrackr
The Sleep Company is gearing up to fetch Rs 105 crore ($12.3 million) in Series D funding, with the round being led by Saffron Investments and participated in by Carillon Investments and Infinity Partners.
The last round of funding came in at $22 million in Series C, where the lead investors were Premji Invest and Fireside Ventures; the round was completed in December 2023.
By virtue of being filed with the Registrar of Companies (RoC), the resolution originated from The Sleep Company’s board, approving the issuance of 19,093 Series D CCPS at the price of Rs 55,130 each, thereby raising capital amounting to the above-stated sum.
With Saffron Investments spearheading the round and investing Rs 87.73 crore ($10.3 million), Carillon Investments and Infinity Partners will be investing Rs 9.74 crore and Rs 7.77 crore, respectively.
The filing mentioned that the proceeds from funds raised in this round will be used for growth and expansion, as well as general corporate purposes. This appears to be a part of a larger round, and the company might raise more in the same round.
With Entrackr’s estimates, the Mumbai-based company will have a valuation of around Rs 2,745 crore ($323 million), an 80% jump compared to the Rs 1,500 crore valuation during its last round when $22 million was raised. The valuation shall hike in case further funds come in during this ongoing Series D.
Sleep had reportedly been in discussions to float a $50 million raise from ChrysCapital in a primary and secondary transaction mix.
The Sleep Company, a D2C sleep solutions startup, was founded in 2019, selling mattresses, pillows, cushions, bedding, and office chairs. They sell their products through online channels as well as brick and mortar stores.
Having raised around $49 million to date from Premji Invest and Fireside Ventures, as per data intelligence platform TheKredible. The company now has a 3.2 percent stake held by Saffron Investments after the allotment.
For the year ending 2024, revenues of the D2C brand witnessed a 2.5X surge to Rs 312 crore from Rs 127 crore in FY23. Despite healthy gains, the losses of the company increased by 58% to Rs 58.69 crore during the same period.
The Sleep Company competes with brands like Wakefit, which recently filed its DRHP with SEBI to raise ₹468 crore through a fresh issue, along with other players such as SleepCat and Duroflex.
