Casper Sleep, a US-based mattress producer backed by retailer Target, is set to interview potential underwriters next month for an initial public offering, Reuters reported yesterday, citing people familiar with the matter.
Casper initially manufactured a single type of memory foam mattress in 2014 but has since expanded its range to three types which it sells directly to consumers through its website. It has also added products such as pillows, bedding, frames, bedroom furniture and dog beds.
The company operates a range of showrooms and opened its first permanent brick-and-mortar location in the city of New York in 2018. The potential IPO will come in the wake of an announcement it plans to expand to 200 stores in the coming years.
The offering will follow $240m in equity funding. Target led a $170m series C round for Casper in 2017, with participation from Tresalia, Institutional Venture Partners (IVP), Norwest Venture Partners (NVP), Lerer Hippeau Ventures, New Enterprise Associates (NEA) and Irving Capital.
The series C round, which also featured celebrities such as rapper Curtis ’50 Cent’ Jackson, valued Casper at $920m post-money.
IVP had previously led the company’s $55m series B round in 2015, investing with NVP, Lerer Hippeau, NEA, Slow Ventures, SV Angel, Vaizra Investments, Queensbridge Ventures and the Pritzker Family.
Casper’s shareholders also include Crosslink Capital, A-Grade Investments, Consigliere Brand Capital, Silas Capital, Cendana Capital and Correlation Ventures.
