Wakefit Innovations Ltd., a home and furnishings company based in Bengaluru, has formally started the process of going public. The company filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) on June 26. This paved the way for an IPO, which would raise a substantial amount of money to support the company’s expansion goals.
A new issue of equity shares valued at ₹468.2 crore and an Offer for Sale (OFS) of 5.84 crore shares by existing investors and promoters make up the proposed IPO. Along with co-founders Ankit Garg and Chaitanya Ramalingegowda, notable owners wishing to reduce their holdings include Redwood Trust, Verlinvest S.A., Investcorp, and Peak XV Partners.
Credits: Startuptalky
In this article, we will delve into Wakefit’s IPO plans, how it intends to utilise the funds, its business journey so far, and the broader trend of startups tapping into public markets in 2025.
Strategic Use of IPO Proceeds: Fueling Omnichannel Retail
Wakefit plans to channel the proceeds from the fresh issue into a multi-pronged expansion strategy. A major share—₹82 crore—will go into opening 117 new COCO (Company-Owned, Company-Operated) Regular Stores and one large-format COCO Jumbo Store, underlining its aggressive offline retail expansion.
In addition, ₹145 crore is earmarked for lease and sublease rent payments for existing stores, and ₹15.4 crore will be invested in acquiring new machinery and equipment, boosting its manufacturing and operational efficiency.
The brand also intends to invest ₹108.4 crore in marketing and advertising, a strong push to build greater brand awareness across both online and offline channels. A portion of the capital will support general corporate purposes, including working capital needs.
Interestingly, Wakefit may also consider a pre-IPO placement of up to ₹93.6 crore, which could reduce the size of the fresh issue if executed.
Inside Wakefit: India’s D2C Furniture Trailblazer
Founded in 2016, Wakefit began as a direct-to-consumer mattress brand and quickly expanded into broader home and furniture categories. The brand stands out in India’s competitive furnishings space for its full-stack, vertically integrated business model—managing everything from design and manufacturing to delivery and after-sales.
Its five manufacturing units are spread across Karnataka, Tamil Nadu, and Haryana, enabling national distribution. The brand sells through its own website, offline stores, and leading e-commerce platforms, making it a strong player in both digital and physical retail channels.
This combination of online-first agility and offline scalability gives Wakefit a significant edge in a sector traditionally dominated by fragmented, local suppliers.
IPO Wave Sweeps Indian Startup Ecosystem
Wakefit’s IPO move mirrors a broader trend in India’s startup ecosystem, where more consumer brands and tech-driven platforms are tapping the public markets for capital. With investor interest returning to tech and consumption-led businesses, 2025 is shaping up to be a blockbuster year for IPOs.
High-profile names in the queue include Lenskart, Groww, PhysicsWallah, Zepto, and Fractal Analytics—all targeting sizeable public raises. Fintech player Pine Labs is also prepping for a notable listing, expected to be one of the most significant fintech IPOs in the country’s history.
These companies, like Wakefit, are leveraging their strong digital infrastructure and customer base to appeal to both retail and institutional investors.
Credits: Upstox
Conclusion: A Wake-Up Call for Indian Retail
More than just a capital-raising strategy, Wakefit’s IPO filing validates India’s changing consumer landscape and the increasing influence of modern direct-to-consumer firms. Wakefit is putting itself in a position to become a household name in the furniture and home décor industry with strong expansion ambitions, a smoothly operating supply chain, and a keen focus on brand visibility.
Wakefit’s story may spur a new wave of offerings from consumer-focused, tech-savvy firms hoping to extract long-term value from public markets as India’s IPO scene heats up.
