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Bloomberg: Kingkoil (China) and Simmons (China) may merge
    February 05,2021



According to the US financial media "Bloomberg", the current actual controller of Kingkoil Mattress (China), the US private equity investment company Advent International, is considering a merger with Serta-Simmons (China).


While Advent Internationall is considering merging Kingkoil Mattress (China) with Serta-Simmons (China), it is also evaluating two other possibilities for dealing with Kingkoil Mattress (China), including direct transfers, selling Kingkoil mattress (China). In an anonymous response to a question from Bloomberg, a third party stated that the current price of Advent Internationall for Kingkoil Mattress (China) is about 1 billion US dollars.


Advent Internationall is the unified platform controller of Serta Simmons and Kingkoil in China. Regarding China's mattress market, Li Xi'an, co-chairman of Advent Internationall Greater China, said: The domestic mattress industry is becoming more and more competitive, but the brands are scattered and an oligarch has not yet formed.


Some insiders believe that, to promote the strategic integration of Serta-Simmons China and Kingkoil China, Advent Internationall is targeting the market with a fragmented brand. An important driving force for integration is economies of scale, especially market size.


The use of capital to drive the restructuring of the industry's competitive landscape may be the killer for foreign mattresses to snatch China's high-end mattresses. Judging from the current situation, a bloody market battle may be unfolding.







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