Steadview Cap, WhiteOak, Capital 2B invest ₹186 cr in Wakefit via secondary deal ahead of IPO
New Delhi, Dec 7 (PTI) Three investors, Steadview Capital, WhiteOak Capital, InfoEdge and Temasek-backed Capital 2B invested ₹186 crore through secondary market transactions in Wakefit Innovations Ltd, ahead of the home and furniture company’s first share sale opening for public subscription.
As part of the transaction, Steadview Capital Mauritius, WhiteOak Capital and Capital 2B collectively acquired 95.57 lakh equity shares. ₹195 per person, according to Wakefit’s public announcement.
Individually, Steadview Capital acquired shares worth ₹101 crore, WhiteOak invested ₹72 crore and Capital 2B vaccinated ₹13 crore.
These shares were purchased from Peak XV Partners, Redwood Trust and Verlinvest SA, and the secondary share transfers were completed on 3 and 4 December.
According to market sources, strong demand for Wakefit led many of the existing shareholders to transfer additional shares outside the IPO to three new entities, which later became shareholders of the company.
Following this tour, Wakefit gathered on December 5 ₹580 crore from anchor investors including HDFC Life Insurance, Bajaj Life Insurance, Prudential Hong Kong, 360 One, Steadview Capital, Amundi Funds New Silk Road, HDFC Mutual Fund and Axis Mutual Fund.
The public issue involves a new issue of shares valued at ₹100,000. ₹Offer for sale (OFS) comprising 4,67,54,405 shares valued at 377.18 crore and approx. ₹912 crore, total issue size ₹1,289 crore.
As part of the OFS, promoters Ankit Garg and Chaitanya Ramalingegowda and other selling shareholders (Ntika Goel, Peak XV Partners Investments VI, Redwood Trust, Verlinvest SA, SAI Global India Fund I LLP and Paramark KB Fund I) will distribute their shares.
Following the share sale, the promoters’ stake will drop to around 37 percent from the current 43.70 percent.
Wakefit proposes to use the proceeds from the new issue for its value ₹31 crore for setting up of 117 new COCO-Normal Stores; ₹15.4 crore towards purchase of new equipment and machinery; ₹161.4 crore for rent and sub-lease expenses of existing stores and license fee payments.
In addition, ₹108.4 crore will be spent on marketing and advertising to increase awareness and visibility of the brand and the remaining amount will be used for general corporate purposes.
Wakefit rose last month ₹56 crore from DSP India Fund and 360 ONE Equity Opportunities Fund as part of pre-IPO funding round.
Founded in 2016, Wakefit is one of the fastest domestic players among its organized peers in the home and furniture market in India, generating aggregate revenues of over ₹200,000. ₹1,000 crore as on March 31, 2024.
It has a wide range of bedding, furnishings and furnishings that it sells through both its own channels (consisting of its website and COCO Stores) and external channels (including various marketplaces such as major e-commerce platforms and multi-brand outlets).
It is a full-service, vertically integrated company that allows it to control every aspect of operations, from conceptualizing, designing and engineering products to manufacturing, distribution and ensuring customer experience and engagement.
Wakefit operates five manufacturing facilities, two in Bengaluru, Karnataka, two in Hosur, Tamil Nadu and one in 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.
Financially, Wakefit reported revenue from operations ₹724 crore and profit ₹35.5 crore for the six-month period ending September 30, 2025.
The company will enter the stock market on December 15.
