Sleep Country Canada Holdings Inc., the nation’s largest mattress retailer, boosted its initial public offering by 50 percent to C$300 million ($236 million), according to people familiar with the matter.
Sleep Country is selling shares for C$17 apiece in its IPO, said the person, who asked not to be identified because terms haven’t been disclosed. The Toronto-based company initially sought to sell C$200 million of shares for C$14 to C$16 each, according to a June 23 filing with regulators. The Wall Street Journal reported the increase earlier.
The IPO brings Sleep Country back to the Toronto Stock Exchange seven years after Toronto private equity firm Birch Hill Equity Partners Management Inc. and Westerkirk Capital Inc. bought the company after five years as a publicly traded income fund.
Sleep Country, founded by Stephen Gunn, Christine Magee and Gord Lownds in Vancouver in 1994, has 215 stores across eight Canadian provinces, including 47 outlets in Quebec under the Dormez-vous? brand.
Sleep Country’s IPO was led by Toronto-Dominion Bank and Bank of Montreal, and the banks have an option to buy an additional 15 percent of the offering after the transaction closes.
Sleep Country is among a handful of Canadian IPOs slated for the next two months. Shred-it International Inc. aims to raise more than C$500 million in its IPO this month, according to people familiar with the transaction, while Spin Master Corp. seeks C$220 million in its offering. And ExactEarth Ltd., which provides global maritime vessel data for ship tracking, filed regulatory documents Thursday to raise C$80 million in its initial sale.
Acasta Enterprises Inc., founded by Gordon Nixon, the Royal Bank of Canada’s former chief executive, and Richard Waugh, the retired Bank of Nova Scotia CEO, among others, aims to raise C$275 million in the fourth IPO of a special purpose acquisition corporation in Canada this year.