Upcoming IPO: Wakefit files draft papers with SEBI, includes ₹468 crore fresh issue component

Wakefit IPO: Online mattress retailer Wakefit Innovations Ltd has filed preliminary papers with the capital markets regulator, the Securities and Exchange Board of India (SEBI), to mop up funds via an initial public offering.

The initial share sale consists of a fresh issuance of shares worth ₹468.22 crore, and an offer for sale of 58,399,085 shares, according to the draft red herring prospectus (DRHP) filed on Thursday.

Under the OFS, promoters Ankit Garg and Chaitanya Ramalingegowda and other shareholders like Nitika Goel, Peak XV Partners Investments VI, Redwood Trust, SAI Global India Fund I, LLP, Verlinvest SA, Investcorp Growth Opportunity Fund, Paramark KB Fund I, and Investcorp Growth Equity Fund will offload their stake.

The net proceeds will be used towards the following objects:

• Capital expenditure for establishing 117 new COCO – Regular Stores and one COCO – Jumbo Store
• Pay lease and licence fee payments for existing COCO – Regular Stores
• Marketing and advertisement expenses
• Capital expenditure to purchase new equipment
• General corporate purposes

Axis Capital, Nomura Financial Advisory and Securities (India) and IIFL Capital Services are the issue's book running lead managers, while MUFG Intime India Pvt Ltd is the registrar.

About Wakefit

Wakefit is India's largest direct-to-customer home and furnishings company in terms of revenue in the financial year 2023-24, according to the Redseer Report.

As of March 2024, with just over nine years of operations, the company is the fastest homegrown player in the home and furnishings market in the country among organised peers, with total income of over ₹1,000 crore, including ₹986.35 crore in revenue from operations.

For the nine-month period ended December 2024, the firm’s revenue from operations and net loss stood at ₹971 crore and ₹8.80 crore, respectively.