The ₹1,289-crore initial public offering (IPO) of Bengaluru-based home and furnishings company Wakefit Innovations commenced today, featuring a price band of ₹185–195 per share. The offering will close on December 10, 2025. Retail investors can apply for a minimum lot consisting of 76 shares.
According to the reservation structure, 75 percent of the net issue is designated for qualified institutional buyers (QIBs), excluding the anchor portion; 15 percent is reserved for non-institutional investors (NIIs); and 10 percent is allocated for retail investors.
The public issue includes a fresh issue worth ₹377.18 crore alongside an offer for sale (OFS) of approximately 4.67 crore shares, valued at around ₹912 crore. The OFS will see promoters Ankit Garg and Chaitanya Ramalingegowda, along with other shareholders such as Nitika Goel, Peak XV Partners Investments VI, Redwood Trust, Verlinvest SA, SAI Global India Fund I LLP, and Paramark KB Fund I, offload shares. Following the stake sale, the promoters’ holding will decrease to about 37 percent from 43.70 percent.
Anchor Book
On Friday, Wakefit Innovations Ltd secured ₹580 crore from anchor investors by allotting roughly 2.97 crore shares at ₹195 each. The anchor book attracted several prominent investors, including HDFC Life Insurance, Bajaj Life Insurance, Prudential Hong Kong, 360 One, Steadview Capital, and Amundi Funds New Silk Road. Additionally, various domestic mutual funds, such as HDFC MF, Axis MF, Mirae Asset MF, Nippon India MF, Tata MF, HSBC MF, Bandhan MF, Edelweiss MF, and Mahindra Manulife MF, participated in the anchor category.
Pre-IPO Round
Last month, Wakefit raised ₹56 crore from DSP India Fund and 360 ONE Equity Opportunities Fund during a pre-IPO funding round.
Use of Fresh Issue Funds
The company plans to allocate ₹31 crore from the fresh issue to establish 117 new COCO-Regular Stores; ₹15.4 crore for acquiring new equipment and machinery; and ₹161.4 crore for lease and sub-lease rent and license fee payments for existing stores. Additionally, ₹108.4 crore will be used for marketing and advertisement expenses aimed at increasing brand visibility, while the remaining proceeds will be allocated for general corporate purposes.
Founded in 2016, Wakefit is among the fastest home-grown companies in India’s home and furnishings market to achieve total income exceeding ₹1,000 crore as of March 31, 2024. The company offers a diverse range of mattresses, furniture, and furnishings through its own platforms, including the website and COCO-Stores, as well as external channels such as major e-commerce platforms and multi-branded outlets.
Wakefit operates as a fully integrated company, allowing it to manage operations from product conceptualization and design to manufacturing, distribution, and customer engagement. The company has five manufacturing facilities located in Bengaluru, Karnataka; Hosur, Tamil Nadu; and Sonipat, Haryana, equipped with advanced machinery and automation technologies.
Financially, Wakefit reported a revenue of ₹724 crore and a profit of ₹35.5 crore for the six-month period ending September 30, 2025. The company’s stock market debut is set for December 15.
SBI Securities Views
In their analysis, SBI Securities highlighted that Wakefit Innovations Ltd is a leading direct-to-consumer provider in the home and furnishings sector. The company began by selling mattresses and has since expanded into complementary categories such as furniture and furnishings. Over the past three years, Wakefit has achieved a revenue compound annual growth rate (CAGR) of 25%, while achieving EBITDA positivity in FY24 and PAT positivity in the first half of FY26. At the upper price band of ₹195, the issue is valued at an EV/Sales multiple of 4.7x based on post-issue capital. Comparing this to similar listed peers suggests the issue may be expensive; therefore, SBI Securities recommends investors to avoid the issue and monitor the company’s performance post-listing.
Published on December 8, 2025
