Sleep Country to acquire the Canadian operations of Casper Sleep Inc.
by CM staff
Sleep Country has agreed to acquire from Casper Sleep Inc. substantially all of its Canadian assets
TORONTO — Sleep County Canada Holdings Inc., announced its intention to acquire 100 per cent ownership of the Canadian assets of Casper Sleep Inc., the original disruptor of the mattress industry in North America and award-winning mattress retailer.
“We are very excited to acquire 100 per cent of Casper’s Canadian retail business, who invested over $1 billion globally to build a leading brand that elevated the importance of a good night’s sleep for all. With their omnichannel business, and their mission to deliver a frictionless and elevated sleep retail experience, they align perfectly with our strategic omnichannel journey that began 4 years ago,” said Stewart Schaefer, President and CEO of Sleep Country.
“We look forward to growing Casper’s brand in Canada to make the newest member of our family of brands more accessible to all Canadians in a seamless manner that will exceed our growing customer expectations. We are excited to continue working with Casper Sleep Inc. as they continue executing their long-term strategic growth plan,” added Schaefer.
“We are thrilled to expand upon our retail journey by partnering up with one of North America’s top sleep retailers,” said Emilie Arel, CEO of Casper Sleep Inc. “Sleep Country has been a retail mattress legacy for almost 3 decades, and sharing best practices with this leading retailer only helps accelerate our expertise and rapid growth in the retail omnichannel space,” added Arel.
Sleep Country has agreed to acquire from Casper Sleep Inc. substantially all of its Canadian assets. Sleep Country will pay US$20.6 million at close, receive a cumulative US$4.5 million marketing transition fee from Casper Sleep Inc,. over the next four years and receive three-year warrants which would convert into a ~1 per cent stake in Casper Sleep Inc. upon exercise. In addition, Sleep Country invested US$20 million in five-year convertible notes which will have the option of converting into ~5 per cent of Casper Sleep Inc.’s shares.
