Sleep County to acquire Casper Sleep’s Canadian retail business

• The purchase price is $20.6 million
• In addition, Sleep Country invested $20 million in five-year convertible notes which will have the option of converting into 5 percent of Casper Sleep’s shares
  
• Casper Sleep was taken private by Durational Capital Management in 2022

Sleep County Canada has agreed to acquire 100 percent of the Canadian retail business assets of Casper Sleep, a New York-based maker of sleep products, including mattresses, pillows, bedding and furniture.

The purchase price is $20.6 million. Sleep Country will receive a cumulative $4.5 million marketing transition fee from Casper Sleep over the next four years and receive three-year warrants which would convert into an about 1 percent stake.

In addition, Sleep Country invested $20 million in five-year convertible notes which will have the option of converting into 5 percent of Casper Sleep’s shares.

Based in Toronto, Sleep Country is an omnichannel specialty sleep retailer.

“We are very excited to acquire 100 percent of Casper’s Canadian retail business, who invested over $1 billion globally to build a leading brand that elevated the importance of a good night’s sleep for all. With their omnichannel business, and their mission to deliver a frictionless and elevated sleep retail experience, they align perfectly with our strategic omnichannel journey that began 4 years ago,” said Stewart Schaefer, president and CEO of Sleep Country, in a statement.

Casper Sleep was taken private by Durational Capital Management in 2022.

Durational Capital Management is a private investment firm that invests in consumer companies. The firm is based in New York.