Kurl-on buys Spring Air to expand in premium segment
To almost double revenues to over Rs 2000 crore by FY21
Special Correspondent
MUMBAI
Kurl-on, brand of mattresses has acquired Spring Air, one of the top 10 manufacturers of bedding products in the world, for an undisclosed amount to expand its presence across India, Bangladesh, Srilanka and Pakistan.
“With this acquisition, Spring Air and Englader brand of mattresses will now be under the Kurl-on umbrella. The acquisition will strengthen Kurl-on’s presence in the premium bedding segment, besides enabling them penetrate the fast growing demand in the hospitality sector and is in line with Kurl-on’s aggressive expansion strategy of both its product portfolio and retail presence,” said a company statement.
Commenting on the acquisition, Mr. Sudhakar Pai, Chairman & Managing Director, Kurl-on, said, “At Kurl-on, we are focused on enhancing our product portfolio backed by R&D and new technologies. While Kurl-on regularly invests on R&D, we are also open to exploring newer avenues for technological advancements and it is here, where we saw a fitment with Spring Air.”
“The acquisition will contribute to Kurl-on crossing the Rs. 2,000 crore revenue mark in the next two years. We are enthusiastic about our common vision, the similarities in our culture of innovation, and the added value we can create for customers”, he further added.
Under the terms of the sale agreement, Spring Air will continue to manufacture its bedding products from its two manufacturing centres, complementing Kurl-on’s existing ten manufacturing facilities.
“Retail expansion continues to be one of the key imperatives for Kurl-on. With this acquisition, Kurl-on will now be able to offer the premium range of mattresses across the length and breadth of the country” added Ashutosh Vaidya, Chief Marketing Officer – Kurl-on.
Spring Air’s product portfolio across the premium and luxury category will now be available across Kurl-on’s 1300 exclusive franchise outlets and 7000 multi-brand outlet across the country, besides its 93 Kurl-on Home Komfort stores, said the statement.
“Given the increasing consumer spend on home furnishing and decor, we see significant premiumisation in this sector in line with international markets. This deal adds premium international brand of Spring Air and Englader to Kurl-on’s existing portfolio. We have planned a well thought out transition plan to fully harness the synergies and will work together to achieve the same”, said Ashok Kumar, CEO & Member of the Board, Spring Air Bedding Company India Ltd and Spring Air Middle East.
The mattress industry has undergone a profound transformation in recent years. Currently at Rs 10,000 crore, the mattress industry is projected to reach Rs 14,000 crore by 2021, with a CAGR of 9%.