Wakefit Plans ₹1,500-2,000 Crore IPO, Picks Three Bankers: Report
Wakefit, a direct-to-consumer (D2C) home and sleep brand, is reportedly planning to raise ₹1,500-2,000 crore through an initial public offering (IPO). The Bengaluru-based company has chosen Axis Capital, IIFL, and Nomura as its lead bankers for the IPO. Although the exact listing timing is yet to be finalized, Wakefit may file its draft papers soon.
Wakefit’s IPO plans come after a remarkable financial year, where the company reported a revenue of ₹986 crore in FY24. This significant growth has enabled the brand to expand its operations and boost its market reach. The company’s success is attributed to its focus on offering high-quality products and exceptional customer service, which has helped it build a loyal customer base.
Wakefit, backed by Peak XV, has been rapidly expanding its product portfolio and geographic presence. The company has been investing heavily in marketing and advertising to increase brand awareness and drive sales. Its social media presence has been growing steadily, with over 1.5 million followers on platforms like Instagram and Facebook.
The IPO proceeds will likely be used to further accelerate Wakefit’s growth plans. The company may use the funds to expand its product range, enhance its logistics and distribution network, and invest in digital marketing to reach a wider audience. Wakefit may also use some of the funds to strengthen its balance sheet and reduce debt.
Wakefit’s IPO is expected to be one of the largest in the D2C segment, following the successful listings of companies like Nykaa and Zomato. The IPO market has been witnessing a resurgence in recent times, with several companies planning to go public in the near future.
The D2C segment has been growing rapidly in India, driven by changing consumer behavior and increasing demand for online shopping. Wakefit’s IPO could be a significant event in the Indian startup ecosystem, as it would provide a platform for the company to raise funds and increase its visibility among investors and consumers.
Wakefit’s revenue growth has been impressive, with the company reporting a compound annual growth rate (CAGR) of over 50% in recent years. Its revenue growth has been driven by a combination of factors, including increased brand awareness, expanded product range, and improved customer service.
The company’s financial performance has been strong, with a net profit margin of around 10% in FY24. Wakefit’s cash flow has also been stable, with the company generating positive operating cash flow in recent years.
Wakefit’s IPO plans have been well-received by the market, with experts predicting a strong demand for the company’s shares. The IPO could be a major event in the Indian IPO market, with Wakefit’s shares likely to be in high demand among investors.
In conclusion, Wakefit’s plans to raise ₹1,500-2,000 crore through an IPO are a significant development in the Indian startup ecosystem. The company’s impressive financial performance, strong brand presence, and growth prospects make it an attractive candidate for investors. Wakefit’s IPO could be a major event in the Indian IPO market, with the company’s shares likely to be in high demand among investors.
Source: https://startuptalky.com/news/wakefit-plans-ipo-picks-lead-bankers/
