Bengaluru-based home and sleep solutions company Wakefit has secured the necessary approvals from the Securities and Exchange Board of India (SEBI) to launch its Initial Public Offering (IPO). The company aims to raise ₹468 crore through a fresh issuance of equity shares. In addition to this, the IPO will include an Offer for Sale (OFS) wherein existing shareholders, including promoters and institutional investors, will sell approximately 58.4 million shares.
Among the notable sellers are Peak XV Partners, offloading 25 million shares, Belgian investor Verlinvest with around 10.2 million shares, along with co-founders Chaitanya Ramalingegowda and Ankit Garg diluting a portion of their stakes.
Previous IPO Moves and Fundraising History
Wakefit first filed its draft red herring prospectus (DRHP) in June 2025, indicating its aspiration to expand its retail footprint and strengthen its manufacturing and marketing capabilities with the public listing proceeds. Prior to this, the company has raised around $148 million across five funding rounds since its inception in 2016. Its latest capital influx was $40 million led by Investcorp in January 2023, with other existing investors including Sequoia Capital India, Verlinvest, and SIG participating. This funding helped Wakefit scale operations rapidly, expand product lines, and enter tier-2 and tier-3 cities.
Financial Performance
Wakefit has demonstrated strong financial growth. In FY25, it posted a revenue of ₹971 crore for the nine months ending December 2024, nearly matching its full-year revenue of ₹986 crore in FY24. Manufactured items contributed over 97% of the revenue at ₹951 crore. Although the company reported a narrow net loss of ₹9 crore for the nine-month period, this marked substantial improvement over the previous year’s ₹15 crore loss. EBITDA was ₹76 crore with a 7.65% margin. Major cost heads included raw materials (₹433 crore), employee benefits (₹126 crore), advertising (₹82 crore), and delivery/logistics (₹75 crore), reflecting substantial investments in operations and brand building.
Market Position and Competitors
Wakefit’s core competitors in the home and sleep solutions space include Pepperfry, Urban Ladder, Nilkamal Furniture, and Dunlopillo-owned Sleepyhead. According to SimilarWeb data as of August 2025, Pepperfry leads with 3.3 million visits, followed by Nilkamal Furniture (1.4 million) and Mysleepyhead (382,000). These players compete on product variety, pricing, delivery speed, and customer experience. Wakefit differentiates itself with strong D2C capabilities, technology-driven supply chain efficiencies, and emphasis on sleep science and product innovation.
Fresh IPO Landscape and Other Notable Startups
The Indian IPO market in 2025 is vibrant, with over 25 startups having filed draft red herring prospectuses with SEBI. Besides Wakefit, marquee names include Lenskart, Groww, PhysicsWallah, and PhonePe—all poised for major public listings. Several sectors, including fintech, fast-moving consumer goods, edtech, and e-commerce, are seeing robust investor interest. The public offering pipeline is expected to raise several thousand crores collectively, highlighting strong growth and investor enthusiasm for India’s next wave of tech-driven companies.
Recently, Lenskart has also received approval from the SEBI to launch its IPO, according to multiple sources. The company is expected to file its updated prospectus in the coming weeks, targeting a mid-November stock market debut.
With a fresh equity raise planned at ₹2,150 crore and an offer-for-sale component involving founders and major investors selling up to 132.3 million shares, the total public offering size is expected to be in the range of ₹7,500–8,000 crore (approximately $850–900 million), making it one of the largest public listings in India in 2025.
In summary, Wakefit’s SEBI nod marks a significant milestone in its evolution from a niche D2C mattress brand to a diversified home solutions company with robust financials and high growth aspiration. Supported by strong institutional backing and improving profitability, the company is well-prepared to capitalize on India’s booming home goods market. Positioned alongside India’s top upcoming public tech firms, Wakefit’s public debut is one to watch as the year progresses.
