The Sleep Company, the Bengaluru-based sleep solutions innovator, is in advanced talks to raise more than ₹500 crore (over $60 million) in fresh capital. Investors like Kedaara Capital, ChrysCapital, and IIFL are currently in negotiations, and the final deal may soon be announced.
At the heart of the deal? A potential valuation of ₹3,400 crore ($400 million)—double what the company was worth in 2023. And just two years ago in 2022, the valuation stood at only $120 million.
What Does This Mean for the Everyday Sleeper?
If you’ve ever cursed your mattress after a bad night’s sleep, here’s some good news: competition in India’s sleep-tech sector is heating up. With more funding, The Sleep Company could bring better sleep experiences closer to home—literally.
More stores. Better products. Possibly even affordable pricing for SmartGRID technology that was once a premium offering.
The Rise of a Sleep-Tech Star
Founded in 2019 by Harshil Salot and Priyanka Goyal Salot, The Sleep Company began as a digital-first brand focused on selling ergonomic mattresses. But it didn’t stop at beds. Today, it’s a full-blown bedding and furniture startup boasting patented SmartGRID technology and 100 stores across India.
It’s also raised over $50 million from previous investors, including Premji Invest.
Now, with revenue more than doubling from ₹130 crore in FY23 to ₹320 crore in FY24, it’s clear that this company isn’t just helping people sleep better—it’s waking up the market.
Also Read Rallis India Tanks 4.53% After Q4 Shocker—Are Farmers or Investors Feeling the Heat More?
Losses Grow, But So Does Investor Confidence
Even as revenue soared, losses widened from ₹37 crore to ₹59 crore over the same period. Still, investors remain bullish. Why? Because consumer startups with a strong brand and scalable model are still attracting serious interest—especially in wellness-driven sectors like sleep.
And let’s be honest, in a post-pandemic world, a good night’s sleep sells better than ever.
Expansion Plans in Motion
This is The Sleep Company’s second funding round in 18 months, and they’re not slowing down. The fresh funds are expected to:
- Increase store count beyond the current 100 locations
- Launch new products like SmartGRID seat cushions, backrests, and motorised recliners
- Fuel R&D and tech innovation in ergonomic comfort
At the same time, early backer Fireside Ventures is partially exiting to make room for new investors—another sign of confidence in the brand’s long-term potential.
Also Read Havells India Q4 Profit Soars 16%—But There’s a Surprising Twist You Didn’t Expect!
Competitor Pressure Is Building
While The Sleep Company rides a funding high, rival Wakefit, backed by Peak XV Partners, is preparing for an IPO and has already roped in investment bankers. The battle for your back is on—and investors are betting big on who wins the sleep wars.
Final Thoughts: The Mattress Gold Rush
There’s something poetic about a company turning a universal problem—bad sleep—into a multi-crore business.
What’s ironic? We’re all sleep-deprived, yet investors are wide awake when it comes to the sleep-tech sector.
Also Read Tata Consumer Profit Hits New High at 59%— It’s More Than Just a Hot Cup of Tea
