Wakefit IPO: Issue Opens Next Week, Check Price Band And Key Details Here
The company has fixed a price band of Rs 185-195 per share for its maiden offering, valuing the Bengaluru-based firm at nearly Rs 6,400 crore.
- Wakefit plans Rs 1,289 crore IPO; opens December 8.
- Price band set at Rs 185-195, valuing company Rs 6,400 crore.
- IPO includes fresh issue and share sale by promoters.
Home and furnishings company Wakefit Innovations Ltd is aiming to raise Rs 1,289 crore through its Initial Public Offering (IPO), which opens for subscription on December 8.
The company has fixed a price band of Rs 185-195 per share for its maiden offering, valuing the Bengaluru-based firm at nearly Rs 6,400 crore.
The IPO will close on December 10, while anchor investors will be allocated shares on December 5.
The public issue comprises a fresh issue of equity shares worth up to Rs 377.18 crore and an Offer for Sale (OFS) of 4,67,54,405 shares, valued at around Rs 912 crore, taking the total issue size to Rs 1,289 crore.
As part of the OFS, promoters -- Ankit Garg and Chaitanya Ramalingegowda-- along with other selling shareholders -- Nitika Goel, Peak XV Partners Investments VI, Redwood Trust, Verlinvest SA, SAI Global India Fund I LLP, and Paramark KB Fund I -- will offload shares.
Following the stake sale, the promoters' holding will come down to around 37 per cent from the current 43.70 per cent, said Ramalingegowda, Co-founder and Executive Director at Wakefit.
Moving to the utilisation of funds, Wakefit plans to deploy Rs 15.4 crore from the fresh issue for purchasing equipment and machinery and Rs 161.4 crore for lease-related payments for existing stores.
Another Rs 31 crore has been earmarked for setting up 117 new COCO (Company-Owned Company-Operated) stores.
Elaborating on the expansion strategy, Ramalingegowda told PTI that the company follows a "calibrated approach" to store openings, with the planned rollout expected over the next two-and-a-half years, primarily across metro and tier-1 cities.
Wakefit currently operates over 130 stores and adds 25-45 stores annually, he said, emphasising that they "never go very aggressive".
Additionally, the company will allocate Rs 108.4 crore towards marketing and advertising to enhance brand visibility over the next 2-3 years, while the remaining funds will go towards general corporate purposes.
Wakefit typically spends 6-8 per cent of its net revenue on marketing initiatives, he added.
In terms of scale, Wakefit -- incorporated in 2016 -- is among the fastest-growing homegrown players in India’s organised home and furnishings market to surpass Rs 1,000 crore in total income as of March 31, 2024.
Its product portfolio spans mattresses, furniture and furnishings, sold through both proprietary channels (its website and COCO stores) and external platforms, including leading e-commerce marketplaces and multi-brand outlets.
Breaking down its revenue mix, he said 60 per cent of the company’s revenues comes from the mattress segment, 30 per cent from furniture, a vertical just three-and-a-half years old, and the remaining 10 per cent from furnishings and decor.
A key competitive advantage, he noted, is Wakefit’s vertically integrated full-stack model, which allows it to control everything from product design and manufacturing to distribution and customer engagement.
The company operates five manufacturing facilities -- two in Bengaluru, two in Hosur, and one in Sonipat -- equipped with automation technologies such as robotic arms and roller belts to streamline production and reduce waste.
Looking ahead, Wakefit plans to continue expanding its retail footprint by opening new stores and launching new premium products to meet rising demand in that segment, Ramalingegowda said.
On the IPO front, 75 per cent of the issue size has been reserved for qualified institutional buyers, 15 per cent for non-institutional investors, and 10 per cent for retail investors.
The company is scheduled to make its stock market debut on December 15. Financially, Wakefit reported Rs 724 crore in revenue from operations and a profit of Rs 35.5 crore for the six-month period ended September 30, 2025.
The company also raised Rs 56 crore last month from DSP India Fund and 360 ONE Equity Opportunities Fund in a pre-IPO round.
Axis Capital, IIFL Capital Services and Nomura Financial Advisory and Securities (India) Private Ltd are the book-running lead managers to the issue.
(This report has been published as part of the auto-generated syndicate wire feed. Apart from the headline, no editing has been done in the copy by ABP Live.)
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