CITIC Capital Partners, the private equity arm of CITIC Capital Holdings Limited, confirmed on August 18 that it has purchased a controlling stake in King Koil Shanghai Sleep System Co. The investment was made through CITIC Capital China Partners II, L.P., its second China-focused buyout fund, officials said.

King Koil Shanghai is a Shanghai-based manufacturer and retailer of mattresses in China and the exclusive licensee of several international mattress brands such as King Koil, Aireloom, and Life Balance in China. King Koil Shanghai owns the Chinese trademark for King Koil, a Top 10 U.S. brand.

Terms of the transaction were not disclosed.

Yichen Zhang, chairman and CEO of CITIC Capital Holdings Limited, said: “King Koil Shanghai Sleep System Co. 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,” said Stephen Wang, managing director of King Koil Shanghai. “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.”