Wakefit Innovations Limited, the home and sleep solutions brand, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to launch its much-anticipated Initial Public Offering (IPO).
Company Overview
Founded in 2016, Wakefit has grown into India’s fastest-growing indigenous brand in the organised home and furnishings sector, clocking a total income of over ₹1,000 crore as of March 31, 2024. The company offers a diverse portfolio, including:
- Mattresses
- Furniture
- Home accessories
Wakefit sells its products through its own website, COCO (Company-Owned, Company-Operated) stores, and external channels such as e-commerce platforms and multi-brand retail stores.
Manufacturing Capabilities
Wakefit operates five manufacturing facilities:
- 2 in Bengaluru, Karnataka
- 2 in Hosur, Tamil Nadu
- 1 in Sonipat, Haryana
These units are outfitted with advanced automation systems, including robotic arms and roller belt conveyors, which boost operational efficiency and reduce production waste.
For FY24, Wakefit reported:
- Revenue from operations: ₹986.3 crore
- Nine-month revenue (ending Dec 31, 2024): ₹971 crore
IPO Details
The IPO consists of:
- A fresh issue of equity shares worth ₹468.2 crore
- An offer for sale (OFS) of 5,83,99,085 shares (approx. 5.83 crore shares) by existing shareholders
Use of Proceeds
According to the DRHP, Wakefit plans to utilize the proceeds from the fresh issue for:
- ₹82 crore – CapEx to open 117 new COCO – Regular Stores and 1 COCO – Jumbo Store
- ₹15.4 crore – Purchase of new equipment and machinery
- ₹145 crore – Lease rent and license fees for existing stores
- ₹108.4 crore – Marketing and brand awareness campaigns
- Balance – General corporate purposes
IPO Book Running Lead Managers (BRLMs)
- Axis Capital Limited
- IIFL Capital Services Limited
- Nomura Financial Advisory and Securities (India) Pvt. Ltd.
With this IPO, Wakefit aims to strengthen its offline presence, enhance manufacturing, and bolster its brand positioning in India’s rapidly growing home solutions space. The move also marks a significant step towards capital market debut for one of India’s most recognizable D2C (direct-to-consumer) brands.
