Wakefit Innovations has initiated its initial public offering (IPO) for public subscription, providing an opportunity for investors to purchase shares in a prominent Indian brand specializing in direct-to-consumer home and sleep solutions. The company, renowned for its mattresses, furniture, and home décor products, aims to raise Rs 1,288.89 crore through this offering.
Commencing today, December 8, the IPO will be open for bidding until December 10. Wakefit has garnered significant online customer support since its establishment in 2016, solidifying its position as a leading direct-to-consumer brand in the home sector.
The IPO comprises a fresh issue of 1.93 crore shares valued at Rs 377.18 crore and an offer for sale of 4.68 crore shares worth Rs 911.71 crore. Scheduled for listing on both the BSE and NSE, the anticipated listing date is December 15, with allotment expected to be finalized by December 11.
With a price range of Rs 185 to Rs 195 per share, retail investors are required to invest Rs 14,820 to apply for one lot of 76 shares at the upper end of the price band. Non-institutional investors have lot sizes of 14 and 68, equating to 1,064 shares priced at Rs 2,07,480 and 5,168 shares valued at Rs 10,07,760, respectively.
Axis Capital Ltd. serves as the book running lead manager for the offer, while MUFG Intime India Pvt. Ltd. acts as the registrar. For detailed financial and business insights, interested investors can refer to the company’s Red Herring Prospectus (RHP).
Market sentiment surrounding the IPO is partly influenced by the grey market premium (GMP). As of December 8, Wakefit’s reported GMP stands at Rs 36, suggesting a potential listing price of around Rs 231 based on the upper price of Rs 195, indicating a potential listing gain of approximately 18.46%. However, it is important to note that GMP is merely a market sentiment indicator and does not ensure actual listing performance.
Despite a 28% revenue growth from FY24 to FY25, Wakefit experienced a 133% decline in profit after tax (PAT) during the same period, reflecting financial challenges despite robust revenue expansion. The company remains focused on expanding its furniture and mattress offerings, leveraging its online-first approach and expanding retail footprint in major cities.
Established in 2016, Wakefit Innovations Limited has established itself as a trusted provider of affordable, high-quality home and sleep products directly to consumers. Its diverse product line includes mattresses, beds, sofas, wardrobes, and décor items. Positioned in the competitive direct-to-consumer market, the company aims to fortify its market presence through this public offering.