Elevation Capital Acquires 2.03 Lakh Wakefit Shares Ahead of IPO
Major Pre-IPO Secondary Transaction Highlights Investor Confidence
Elevation Capital has acquired 2,03,426 shares of Wakefit at INR 1,600 per share, totaling INR 32.54 Cr, according to the company’s DRHP filed ahead of its IPO.
- The shares were purchased from Wakefit employees via secondary transactions in 2025.
- In addition, Elevation Capital previously bought over 10.14 Lakh shares from cofounders Ankit Garg, Chaitanya Ramalingegowda, and current/former employees at INR 1,152.86 each, amounting to nearly INR 117 Cr in 2023.
Fresh Share Allotments to Cofounders
Wakefit also allotted over 26 Lakh shares (26,03,731) to cofounders Garg and Ramalingegowda in May 2025, as revealed in its draft IPO documents.
- Notably, Elevation Capital is not participating in Wakefit’s offer for sale (OFS) component of the IPO.
Wakefit’s IPO Structure and Utilization
Wakefit’s public issue will comprise a fresh issue of shares worth up to INR 468 Cr and an OFS of up to 5.8 Cr equity shares.
- Promoters, cofounders, and investors such as Peak XV Partners, Redwood Trust, Paramark, and Verlinvest will offload shares through the OFS.
- IPO proceeds will fund the expansion of Wakefit’s retail store network by setting up 117 new outlets, along with increased marketing spends.
IPO Progress and Strategic Appointments
Wakefit appointed Axis Capital, IIFL Capital Services, and Nomura as bankers for the IPO, and has recently converted into a public entity.
- The company added independent directors—Arindam Paul, Alok Chandra Misra, Sandhya Pottigari, Gunender Kapur, and Sudeep Nagar—to its board for three-year terms.
Business Model and Financial Performance
Founded in 2016, Wakefit is a leading D2C brand offering products including mattresses, pillows, bed frames, home decor, and furniture.
- Competing with brands like The Sleep Company, Duroflex, Kurlon, and Sleepwell, Wakefit has raised over $100 Mn in funding.
- The company reported a net loss of INR 8.8 Cr in 9M FY25 on operating revenue of INR 971 Cr. In FY24, net loss stood at INR 15 Cr with revenue of INR 986.3 Cr.
- 68.8% of revenue is generated from online channels, with the remainder from offline stores and multi-brand outlets.
- Wakefit claims to offer over 3,000 SKUs across product categories.
