Kurl-on likely to hit the bourse in 8-12 months
Mattress maker Kurl-on has said it is likely to hit the capital market in next 8-12 months as a part of its expansion plans.
Besides branching into home décor retailing, the company also plans to partner with various home retailers to expand its shop-in shop concept.
“The sentiment in the market is good. We are planning to go ahead with our listing process in the next 8-12 months,” T Sudhakar Pai, Chairman and Managing Director Kurl-on, told Business Line. Earlier, the four-decade-old company had shelved its plans to go public last year following the economic downturn.
This year, Kurl-on commenced operations of its Rs 14 crore manufacturing facility for mattress and pillows. “We have developed a range of products to cater to a large consumer base. Now, we have mattresses ranging from mere Rs 1,700 to Rs 1 lakh on the upper bracket,” he said.
Kurl-on has a high brand recall and enjoys over 50% market share in the mattress category. The company also enjoys a high institutional sale by catering to one and two-star hotels.
“By developing low priced mattress for the market, we have managed to weed out competition from the fakes in the unorganised category. Out of 100 mattresses sold as Kurl-on, 70 are fake,” Mr Pai said.
Kurl-on had posted a turnover of Rs 415 crore for the fiscal year ended March 31, 2010.
Speaking on the retail strategy, Pai said the company has tied up with major home retailing ventures such as Home Town, @ Home and Home Stop to set up shop-in shops. “We would like to expand our retail footprint wherever there is an opportunity.”
Kurl-on has set up its own retail concept Kurl-on Nest to display its entire range of products. Besides retailing mattresses, it will also be retailing bed and bath linen, apart from upholstery and furniture.
Speaking on furniture retailing, he said the company will be contract manufacturing its furniture range. “We will leverage on our design team who will customise products for the Indian market,” he said adding the company is looking to corner 15% of the Rs 30,000 crore home retailing market with this venture.