Mattress maker Casper to be taken private by PE firm Durational
Samurai Messenger Service prepares to deliver a packaged mattress from the bed delivery company Casper in New York.
Yana Paskova | The Washington Post | Getty Images
Casper Sleep announced Monday that it will be taken private by private equity firm Durational Capital Management in a deal that values the mattress maker at a roughly 94% premium to Friday’s closing price.
Casper’s stock has closed Friday at $3.55 per share. Durational Capital has agreed to pay $6.90 for each Casper share outstanding, the company said in a press release. Casper shares shot up more than 94% in premarket trading Monday following the news.
“This agreement offers a promising opportunity to realize the highest value for our stockholders while providing Casper with much needed capital to execute on future initiatives to sustain and grow its business,” said Casper co-founder and CEO Philip Krim.
Krim said the company has been talking to outside advisors and Casper’s board for several months to evaluate a range of financial alternatives, before deciding that this one was the best choice.
Casper’s board unanimously supports the offer from Durational and recommends that shareholders approve the transaction, he said.
The deal is expected to close in the first quarter of 2022.
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