Wakefit Innovations to float IPO on December 8; eyes ₹1,400 crore

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Home and furnishings company Wakefit Innovations Ltd is gearing up to launch its initial public offering (IPO) on December 8 to raise around Rs 1,400 crore.

The company's maiden public offering is a combination of a fresh issue of equity shares aggregating up to Rs 377.1 crore and an offer-for-sale (OFS) of 4.67 crore shares by the selling shareholders, according to the red herring prospectus (RHP).

As part of the OFS, the promoters -- Ankit Garg and Chaitanya Ramalingegowda and other selling shareholders -- Nitika Goel, Peak XV Partners Investments VI, Redwood Trust, Verlinvest S.A., SAI Global India Fund I LLP and Paramark KB Fund I -- will be offloading shares.

Market sources said that the total issue size would be around Rs 1,400 crore.

The IPO of the Bengaluru-based company will conclude on December 10, and anchor investors will be allocated shares on December 5, the RHP noted.

Wakefit proposes to utilize the proceeds from the fresh issue, worth Rs 31 crore, for setting up 117 new COCO-Regular Stores; Rs 15.4 crore towards purchase of new equipment and machinery; Rs 161.4 crore for expenditure on lease and sub-lease rent and license fee payments for existing stores.

Additionally, Rs 108.4 crores will be used towards marketing and advertisement expenses, and the remaining amount will be used for general corporate purposes.

Earlier this month, Wakefit raised Rs 56 crores from DSP India Fund and 360 ONE Equity Opportunities Fund as part of a pre-IPO funding round.

Wakefit, which was incorporated in 2016, is one of the fastest homegrown players in the home and furnishings market in India among organized peers to achieve a total income of more than Rs 1,000 crore, as of March 31, 2024.

It has a wide range of mattresses, furniture, and furnishings, which it sells through both its own channels (comprising the website and COCO-Stores) and external channels (including various marketplaces, such as major e-commerce platforms and multi-branded outlets).

Wakefit operates five manufacturing facilities, of which two are situated at Bengaluru, Karnataka, two at Hosur, Tamil Nadu and one at Sonipat, Haryana.

Its facilities are equipped with imported machinery and automation technologies, such as robotic arms and roller belts, which streamline the production process and reduce waste.

On the financial front, Wakefit reported revenue from operations of Rs 724 crore and profit of Rs 35.5 crore for the six months ended September 30, 2025.

Axis Capital, IIFL Capital Services and Nomura Financial Advisory and Securities (India) Private Ltd are the book-running lead managers to the issue. The equity shares of the company are proposed to be listed on the BSE and NSE.