CITIC Capital Partners has acquired a controlling stake in King Koil Shanghai Sleep System Co.
The investment was made through CITIC Capital China Partners II, the firm’s second China-focused buyout fund.
King Koil is a Shanghai-based manufacturer and retailer of premium mattresses in China and the exclusive licensee of several international mattress brands such as “King Koil”, “Aireloom”, and “Life Balance” in China. The company owns the Chinese trademark for King Koil, a leading US brand founded in 1898.
Yichen Zhang, chairman and CEO of CITIC Capital Holdings Limited, says: “King Koil is a leading player in the premium mattress segment with strong brand recognition and a highly-skilled management team. We look forward to partnering with the management and other shareholders to strengthen the leadership in the hotel contract market and aggressively grow the retail sector in the coming years.”
“We were very impressed by CITIC Capital’s resources and commitment,” says Stephen Wang, managing director of King Koil. “The highly-fragmented mattress market in China is currently undergoing rapid consolidation and we look forward to working with our new shareholder to become a major force in the market in future. King Koil is committed to bringing the best quality sleep products to our Chinese customers.”
Terms of the transaction have not been disclosed.
