Upcoming IPO: Duroflex files papers with SEBI for ₹184 crore fresh issue, OFS of 2.25 crore shares

Duroflex IPO: Sleep and comfort solutions provider Duroflex has filed preliminary papers with capital markets regulator Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO).

The initial share sale comprises a fresh issuance of equity shares aggregating to ₹183.60 crore and an offer for sale (OFS) of up to 22,564,569 shares by promoters and investors, according to the draft red herring prospectus (DRHP) filed on Wednesday.

Under the OFS, promoters Jacob Joseph George, Mathew George, Mathew Chandy and Mathew Antony Joseph will offload their stake. Investors Lighthouse India Fund III, Limited and Lighthouse India III Employee Trust will also sell their stake.

The net proceeds from the fresh issue will be used for capital expenditure incurred for establishing new COCO stores, lease repayment of existing COCO stores, marketing and advertisement and general corporate purposes.

JM Financial and Motilal Oswal Investment Advisors are the IPO's book-running lead managers, while KFin Technologies is the registrar.

About Duroflex

Duroflex is engaged in offering sleep and comfort solutions with a diversified omni-channel distribution network in India. It manufactures an array of products, including foam, mattresses, beds, recliners, sofas, pillows, accessories and other furnishings.

It is among India's top three largest mattress companies, according to the TKC Report.

Its business is diversified across both direct retail sales (of mattresses and furniture under Duroflex, Perfect Rest and Sleepyhead brands) as well as branded foam, institutional (across various hospitality, education, hospital and government sectors) and OEM (white-labelled mattresses for national and international brands) sales.

"Our revenue has grown at a CAGR of 21.81% from fiscal 2020 to fiscal 2025, in line with our listed mattress and home furnishing peer companies. Further, for Fiscal 2025, we have the highest profit after tax margins and ROCE among our listed mattress and home furnishing peer companies with revenue greater than ₹ 5,000 million," the company said in its DRHP.

Duroflex IPO: Financials