The Sleep Company Bags INR 480 Cr From ChrysCapital, 360 ONE Asset

D2C mattress startup The Sleep Company has raised INR 480 Cr (around $54.6 Mn) in its Series D funding round from ChrysCapital and 360 ONE Asset.

The startup plans to deploy the fresh capital to set up new manufacturing facilities, expand its offline retail presence across metro and tier-I cities, enter new categories and invest in research and development. 

It also aims to strengthen core teams across product, technology, design and retail operations.

Based on The Sleep Company’s MCA filings, Inc42 reported last month that it was set to raise INR 105 Cr ($12.3 Mn) as part of the same Series D funding round from Saffron Investments, Carillon Investments and Infinity Partners.

Founded in 2019 by IIM-Calcutta alumni Harshil and Priyanka, The Sleep Company is a D2C brand offering mattresses, recliner beds, pillows, seat cushions, office chairs, and other bedding accessories. It sells through both online and offline channels. The startup was also a part of Inc42’s FAST42 list of 2022.

The company differentiates itself by offering products that address a key consumer pain point. Traditional mattresses made from memory foam, latex, or springs tend to be either too soft or too firm, but not both.

It counts Fireside Ventures, Premji Invest, Alteria Capital, LogX Ventures and Mamaearth cofounder Varun Alagh among others.

The Sleep Company said that it has crossed an annual revenue run rate of INR 700 Cr, clocked 60% YoY growth in FY25, and recently opened its 150th brand outlet. 

Since its last fundraising round, it claimed to have doubled monthly revenue and grown its workforce from 650 to over 1,500 employees.

It further said that offline retail now accounts for 70% of total revenue. Avendus Capital acted as the exclusive financial advisor for the transaction.