After all the podcast ads, Casper sells to a private equity firm

Casper Sleep will be acquired by the private equity company Durational Capital Management, which will take the box spring mattress company privately, the companies announced on Monday. The agreement is expected to be terminated in the first quarter of 2022.

Founded in 2014, Casper was one of a handful of companies whose ads were ubiquitous on podcasts and which sold their products directly to consumers.

The company was listed on the stock exchange in February 2020, with plans to expand from its primary business of direct-to-consumer sales (D2C) of boxed mattresses to products that “promote the ideal atmosphere for sleep,”[ads1]; according to the S-1 prospect. This list of products included sleep tracking devices, bedside clocks, sleep services like digital apps and advice, and even sleep supplements. But besides mattresses and things that go on mattresses – like sheets and pillows – the most notable product Casper has produced to date is the Glow bedside lamp.

Casper began adding outlets in 2018 and sold its products at retailers such as Target and Mattress Warehouse, but struggled to make money in the increasingly crowded direct-to-consumer (D2C) market.

On Monday, Casper reported losing $ 25.3 million in the third quarter, compared to a loss of $ 15.9 million in the quarter last year. The company also announced that its president and commercial director Emilie Arel has been appointed CEO, taking over from Casper co-founder Philip Krim.

Casper’s Board of Directors unanimously approved the acquisition, which is awaiting approval from Casper’s shareholders.

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