Bengaluru-based mattress and sleep-related products company WakeFit has raised Rs 65 crore funding led by Sequoia Capital. Post the funding, Sequoia will have 31.9 percent stake in the company, and Wakefit's valuation will be Rs 210 crore.
This is the first fund raise by the company and the funding will be used to strengthen WakefFit's manufacturing capabilities, said a release.
The team said it also intends to introduce automation and boost its product capacity from the current 250 mattresses per day to 700 mattresses per day. The company is looking to invest the funding to launch newer product ranges and also introduce bed sheets that will be fabricated with wood pulp fibres. Apart from this, it also intends to manufacture sleepwear, comforters and pillows.
Founded by Chaitanya Ramalingegowda and Ankit Garg three years back, WakeFit reached profitability by July 2016.
Commenting on the funding, Ankit Garg, Co-Founder and CEO, Wakefit, said in a press statement, “The funds will be deployed in strengthening our manufacturing and fulfillment capabilities across the country, brand building, and hiring the right talent.”
As of this financial year, WakeFit's revenue was at Rs 27.6 crore with a profit of Rs 2.2 crore. The company claims to have shown a 3.5x growth in FY17 and claims to be on 3x growth in FY18.
Chaitanya Ramalingegowda, Co-Founder, Wakefit, said in a press statement, “Wakefit has been at the forefront of high quality sleep solutions since 2015, democratising great sleep and changing the way India sleeps.”
The team added the fund raise will also be used towards creating customer awareness on the need for a good quality mattress. WakeFit already claims to offer several features and benefits like a 20-year warranty and 100-day risk-free trial. The team is also looking to enter over 20 Tier-II cities across India and is focusing on an affordable price range to reach a wider audience base.