Wakefit Innovations IPO Opens on Dec 8: Here Are 10 Key Things to Know About This 1290 Cr Issue

The Bengaluru-based Wakefit Innovations Pvt. Ltd is launching its IPO next week, eyeing a valuation of Rs. 1288 cr. The D2C company, founded in 2016, manufactures its products in-house, including mattresses, pillows, bed frames, mattress protectors, comforters, bedsheets, back cushions, sofas, coffee tables, shoe racks, lighting, and decor. Here are the 10 key things investors should know before subscribing to Wakefit Innovations IPO.

1. IPO Dates

The Wakefit Innovations IPO will open on December 8th and close on December 10th. Anchor investors will participate on December 5, ahead of the public issue.

2. Price Band

The Wakefit IPO price band has been set between Rs. 185 and Rs. 195 per equity share, each carrying a face value of Rs. 1.

3. Total Issue Size

The IPO is valued at Rs. 1,288-Rs. 1,289 crore, consisting of a Rs. 377 crore fresh issue and an offer for sale worth Rs. 911 crore by existing shareholders.

4. Fresh Issue Details

Wakefit will issue 1.93 crore new shares, raising Rs. 377 crore, which will be used for expansion, equipment purchases, marketing, and general corporate purposes.

5. Offer for Sale (OFS)

Promoters Ankit Garg and Chaitanya Ramalingegowda, along with major investors including Peak XV Partners, Redwood Trust, and Verlinvest, will sell 4.67-4.68 crore shares in the OFS.

6. Lot Size for Retail Investors

Retail investors can bid for a minimum of 76 shares per lot. At the upper price band, the minimum investment amount works out to Rs.14,820.

7. Use of IPO Proceeds

Wakefit plans to invest around Rs 31 crore, which will be allocated to opening 117 new COCO (company-owned, company-operated) stores, while Rs 15.4 crore will be used for the purchase of equipment. An additional ₹161 crore will go toward lease payments for new stores, and rs.108 crore will be used on marketing and brand-building activities. The rest will be used for general corporate purposes.

8. Pre-IPO Placement

Wakefit trimmed its fresh issue size after completing a Rs. 56 crore pre-IPO placement to DSP and 360 ONE funds. The DRHP originally proposed raising Rs. 468 crore.

9. IPO Valuation

At the upper end of the price band, Wakefit Innovations is expected to command a market capitalisation of Rs 6,000-6,300 crore and will be among the larger mid-cap players in the home and lifestyle segment.

10. Grey Market Premium (GMP)

The Wakefit Innovations IPO GMP on the 2nd of December stood at Rs. 36. This indicates that the listing price could be around Rs. 231 with a potential 18.46% listing gain for investors if sentiments stay the same.
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