Tempur Sealy, the world’s largest bedding provider, has announced its acquisition of Mattress Firm for a whopping $4 billion. This move is set to create a new giant in the mattress industry, with a combined revenue of over $8 billion.
Mattress Firm, the largest specialty mattress retailer in the United States, has been struggling in recent years due to increased competition from online retailers and a shift in consumer preferences towards bed-in-a-box brands. The company filed for bankruptcy in 2018 and was subsequently acquired by Steinhoff International Holdings.
Tempur Sealy, on the other hand, has been thriving in the market, with its Tempur-Pedic and Sealy brands being some of the most recognized and trusted names in the industry. The company has been expanding its product offerings and distribution channels, including partnerships with major retailers like Costco and Amazon.
The acquisition of Mattress Firm will give Tempur Sealy access to the retailer’s extensive network of over 2,500 stores across the United States, as well as its online platform. This will allow the company to further expand its reach and increase its market share.
The deal is expected to close in the third quarter of 2021, pending regulatory approval. Tempur Sealy has stated that it plans to maintain the Mattress Firm brand and its current management team.
This acquisition is a significant move in the mattress industry and is set to shake up the market. With the combined resources and expertise of Tempur Sealy and Mattress Firm, the new entity is poised to become a dominant force in the industry for years to come.