Is Mattress Firm Going Out Of Business? No; Mattress Firm is not going out of business. Mattress Firm is a mattress retailer specializing in frames, mattresses, pillows, dog beds, and more. It operates 2,343 of its retail stores. The firm is the leading retailer of big brands such as Sealy, Beautyrest, Purple, Stearns & Foster, Serta, Tempur-Pedic, and many more.
It doesn’t only has bricks and mortar stores but sells its products through digital platforms, i.e., Sleep.com and MattressFirm.com.
Do you want more? If you want, this blog is definitely for you; we hope you will come up with all the answers you want. This captivating blog will walk you through almost everything about Mattress Firm, including, What Happened to Mattress Firm? Who owns Mattress Firm? Who are the Biggest competitors, its acquisitions, and many more? Are you excited to discover all of these? Hope you are!! So, let’s get started!!!
In 2016, Mattress Firm was acquired by Steinhoff Holdings till now. On October 5, 2018, The company filed for Chapter 11 bankruptcy, and at that time, it was operating 3,600 stores in 48 states across the United States. After filing for bankruptcy, it decided to close more than 700 lease contracts, and it shut down 200 of its unproductive stores.
This series was not ended; it led the company to close the other 500 unprofitable stores out of its 3,400 operating stores. It was noted that, in November 2018, Mattress Firm emerged from bankruptcy.
To regain the company’s profits, it changed its management system, and John Eck was appointed as the new CEO of Mattress Firm in 2019.
Due to the rising effects of the Coronavirus pandemic in March 2020, the company announced it would not pay half or complete of its rent in the next month. Mattress Firm was not the only retailer that announced this, but several other retailers refused to pay some or all of its rent in April.
Later, in 2023, it was believed the company had shifted its headquarters to Westchase from Houston.
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What Happened To Mattress Firm?
In 2022, the Mattress Firm emerged from bankruptcy over 3 years ago. It provided the public with a prospectus that said the company wanted to increase money, i.e., 100 million US dollars. We’ve no idea how many shares and price range the company offered because they did not disclose all these pieces of information.
This figure of 100 million US dollars was also considered a placeholder that changed over time. The firm decided to traffic under the ticker MFRM on the New York Stock Exchange.
In September 2022, the company announced they filed confidently for the IPO; this deal was finalized under the lead people, Barclays and Goldman Sachs.
In 2016, Mattress Firm was acquired by Steinhoff International Holdings for 3.8 billion US dollars. The company initially filed for Chapter 11 bankruptcy when it owned more than 3.200 retail stores in October 2018. But the firm’s size collapsed quickie, and after a month, it left with 2.600 of its physical locations.
After emerging from bankruptcy protection, the company became the latest to seek an IPO.
According to the prospectus, it was believed that, On September 28, 2022, the company stood with total liabilities at 3.5 billion US dollars, whereas the net long-term debt was 1.2 billion US dollars.
In the same month, the retailers paid 1.2 billion US dollars to stockholders, and Steinhoff was one of them.
Mattress Firm and the Steinhoff Group, the stockholder, were also enrolled in substantial debt and reported to be embroiled in an accounting scandal, which led to various lawsuits.
After being filed for IPO, no proceedings were received by the company. On the other hand, shareholders were selling stocks in the company; it had not revealed how many shares and company Steinhoff held at that time. But it was believed that this would also come up with future filings.
During the Coronavirus outbreak, when the height of this pandemic was at its peak, the firm decided to close more than half of its stores. Along with store closures, the company laid off 4,687 field associates and 224 corporate support personnel.
After that, the company realized no profitability. Moreover, it reported a massive loss of 165.1 million US dollars in the fiscal year 2021.
Who Owns Mattress Firm Currently?
Steinhoff International Holdings and Mattress Holding Corp currently own Mattress Firm.
Mattress Firm Acquisitions
- Mattress Firm Inc. is a mattress retailer chain headquartered in Houston, Texas, on July 4, 1986.
- Mattress Pro was a mattress retailer that operated various retail stores in the Southern United States. In 2007, it was acquired by Mattress Firm.
- Sleep America was also a bedding retailer introduced in 1997 in Phoenix, Arizona, by Debbie and Leonard Gaby. On January 6, 2015, the company was acquired by Mattress Firm for 12.5 million US dollars. After the acquisition, all of the Sleep America stores transformed into Mattress Firm stores; this way, the company expanded its business.
- In the same year, 2015, the Mattress Firm announced buying out “Sleepy’s” for 780 million US dollars; all its stores were also converted to Mattress Firm, but the name “Sleepy’s” was continued.
- Mattress Barn was also a Florida-based mattress retailer, but all its stores were converted into Mattress Firm in 2016. Because in 2014 August 29, the company was acquired by the Mattress Firm.
- Sleep Country USA and Sleep Train were also bedding and mattress retailers. Later they were also acquired by Mattress Firm in 2015 and 2014, respectively.
Who Are The Biggest Competitors Of Mattress Firm?
If we check the data provided by Similarweb on monthly visits, we’ve reached the conclusion given below. Below we’re mentioning the top 10 competitors of mattressfirm.com according to monthly visits in April 2023. These are as follows:
- ashleyfurniture.com with 14.0M visits
- roomstogo.com with 4.7M visits
- nectarsleep.com with 2.4M visits
- sleepnumber.com with 2.2 M visits
- casper.com with 2.1M visits
- tempurpedic.com with 1.4M visits
- serta.com with 239.4K visits
- mattresswarehouse.com with 173.4K visits
- us-mattress.com with 147.8K visits
- originalmattress.com with 125.8K visits
The Last Words On Mattress Firm
We’ve concluded that Mattress Firm is not going out of business, as it was acquired by Steinhoff Internation Holdings in 2016 after being filed for bankruptcy.
As retailers were in heavy debt, the company filed for bankruptcy but exited quickly. It was noted that the annual revenue of Mattress Firm by April 2023 was 2.5 billion US dollars.
