Wakefit IPO: Retail Investors Show Moderate Interest as Subscription Moves Ahead

Wakefit IPO: Retail Investors Show Moderate Interest as Subscription Moves Ahead

The Wakefit IPO went live on December 8, 2025, marking a highly awaited listing in the home and furnishings sector. The Bengaluru-based company, renowned for its mattresses and home solutions, designed the IPO to attract both retail and institutional investors.

The offering spans December 8–10, 2025, with shares priced between ₹185 and ₹195. This values the company at approximately ₹6,400 crore, reflecting Wakefit’s growth in the Indian home and furnishings market.

Market Response and Subscription Status

Investor interest has been steady, particularly from retail investors. On the second day of subscription, the IPO recorded the following:

  • Overall subscription: 22% on Day 1
  • Retail portion: Subscribed 1.05×
  • Non-Institutional Investors (NII): Booked 10%
  • Qualified Institutional Buyers (QIBs): Yet to receive bids

A total of 79,65,940 shares have been bid for against 3,63,53,276 shares on offer, indicating moderate participation as the IPO progresses.

IPO Structure and Fundraising Details

The public offering comprises two segments:

  • Fresh Issue: ₹377.18 crore through equity shares
  • Offer for Sale (OFS): 4,67,54,405 shares, approximately ₹912 crore

Total size of the offering: ₹1,289 crore

Promoters Ankit Garg and Chaitanya Ramalingegowda, along with other selling shareholders, are part of the OFS component.

Anchor Investors:

  • Raised ₹186 crore from three investors: Steadview Capital, WhiteOak Capital, and Capital 2B
  • Steadview Capital Mauritius: ₹101 crore
  • WhiteOak Capital: ₹72 crore
  • Capital 2B: ₹13 crore

The IPO allocation is structured to accommodate different investor categories:

  • QIBs: Minimum 75%
  • NII: Maximum 15%
  • Retail investors: Up to 10%

Company Overview: Wakefit’s Business Model

Wakefit Innovations Ltd specialises in home and furnishings, with a strong focus on mattresses. The company has been expanding its footprint through a mix of online channels and physical COCO (Company Owned, Company Operated) stores.

Key points about Wakefit’s business strategy:

  • Omnichannel expansion: Captures the unorganised market and provides customers the ability to experience products firsthand
  • Diversified portfolio: Includes furniture and furnishings beyond mattresses to increase Average Order Value (AOV)
  • Financial turnaround: Achieved ₹35.5 crore net profit in H1 FY25
  • Direct-to-consumer model: Vertically integrated operations allow cost-efficient pricing

The company aims to leverage its growth in India’s ₹3 lakh crore home and furnishings market, projected to grow at 11–13% CAGR.

Key Dates and Allotment Information

Investors should note the important IPO milestones:

  • Basis of allotment: December 11, 2025
  • Refunds: December 12, 2025
  • Listing on BSE & NSE: Expected December 15, 2025

Shares will be credited to investors’ demat accounts on the same day refunds are processed, allowing a seamless transition for allottees.

Summary

The Wakefit IPO represents a significant step for one of India’s leading home and furnishings companies:

  • Price band: ₹185–195 per share
  • Total IPO size: ₹1,289 crore
  • Retail portion: Up to 10% allocation
  • Strong institutional backing: ₹186 crore raised from anchor investors
  • Growth-focused model: Omnichannel presence, diversified portfolio, and vertical integration

As the IPO subscription continues, retail and institutional investors alike are watching the company’s next move closely, with the BSE and NSE listing scheduled for December 15, 2025.

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