How Ramesh Pai revolutionized Sleep comfort in India - Kurlon Mattress

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The rising story of Kurlon Mattress began with Ramesh Pai in 1962, when he founded Karnataka Consumer Products Ltd, which later became Kurlon. Inspired by the use of coir fibre in European car seats, Pai introduced rubberised coir mattresses to India, revolutionising sleep comfort.

Kurlon pioneered mattress innovation in India, including launching the first rubberised coir mattress in 1965, in-house polyurethane foam production, quilted mattresses, and later technologies like Kurlopedic. Over the decades, Kurlon expanded to 9 manufacturing plants and 10,000+ dealers across India, becoming a leading organised mattress brand with over 40% market share in its segment.

However, the legacy faced challenges after the passing of founder Ramesh Pai, as his children diversified and eventually sold their stake abroad. In 2023, Sheela Foam, through its Sleepwell brand, acquired a major share in Kurlon for ₹2,150 crore, marking a significant shift and positioning Sheela Foam as a dominant player in the Indian mattress market while ending the Pai family's direct involvement. Despite the ownership change, Kurlon's brand and innovations remain influential in the Indian home comfort industry

Sheela Foam acquired Kurlon's mattress business primarily to consolidate the highly fragmented mattress and foam product market in India, strengthening its leadership position in the modern mattress segment. The acquisition allowed Sheela Foam to combine Kurlon's strength in rubberised coir mattresses with its own leadership in foam mattresses under the Sleepwell brand, gaining a combined market share of around 21% in the modern mattress market.

Additionally, the deal helped Sheela Foam diversify and expand its pan-India footprint, leveraging Kurlon's strong presence in southern and eastern India alongside its own dominance in northern and western regions. The acquisition also brought complementary manufacturing facilities that improved production efficiencies and cost savings, as none of their plants overlapped geographically.

Furthermore, Sheela Foam eyed growth through inorganic means and saw this as an inflexion point to propel higher organic growth, including entering the fast-growing branded furniture market by also acquiring stakes in furniture rental company Furlenco. Overall, the acquisition was strategic for market dominance, operational synergy, and expanding product and geographic reach

Sheela Foam acquired Kurlon's mattress business to consolidate the highly fragmented mattress and foam product market in India and strengthen its leadership in the modern mattress segment. The acquisition combined Sheela Foam's strength in foam mattresses (Sleepwell brand) with Kurlon's leadership in rubberised coir mattresses, creating an undisputed market leader with a combined market share of around 21% in the modern mattress market.

Additionally, the deal expanded Sheela Foam's pan-India footprint by leveraging Kurlon's strong presence in southern and eastern India alongside Sheela Foam's dominance in northern and western regions. Operational synergies were expected from complementary manufacturing facilities, improving production efficiencies and reducing costs since their plants largely did not overlap geographically.

The acquisition was also part of a strategic move to diversify Sheela Foam's product portfolio and enter related segments like branded furniture, marked by their concurrent investment in the online furniture rental company Furlenco. This inorganic growth initiative aimed to increase the company's growth trajectory, broaden its customer base, and strengthen its business model with enhanced distribution and manufacturing capacity. The deal marked a significant step in Sheela Foam's ambition to become a full portfolio player in home comfort and furniture markets.

Kurlon innovated with rubberised coir by pioneering the use of natural coconut fibres blended with natural latex to create a mattress core that is breathable, resilient, and supportive. This rubberised coir innovation started in the 1960s and revolutionised sleep comfort in India by offering durability, excellent back support, and eco-friendly features.

Kurlon's rubberised coir mattresses combine firm support with breathability, ensuring a cool and comfortable sleep surface, and include product lines like Orthomagic and Klassic that blend traditional design with modern comfort enhancements. Kurlopedic technology, launched in 2016, further enhanced Kurlon's mattress innovation by integrating advanced features like centre densification for optimal back and body support and vertical orientation of coir fibres that act like natural springs to maintain balance and support.

This technology also includes Zero Pressure Point (ZPP) technology that reduces pressure build-ups to improve blood circulation and reduce back and neck pain. Additionally, Kurlopedic mattresses localise motion to prevent partner disturbance (Motion Separation Index), and they are fortified with anti-fungal, anti-microbial, and anti-bed bug protections.

Spring mattresses using Kurlopedic technology also have side walls to prevent sagging and provide extra support. Together, these innovations demonstrate Kurlon's focus on combining natural materials with advanced engineering to improve sleep quality, support spinal alignment, and enhance durability and comfort in their mattresses

Kurlon Mattress's financial details as of recent years are as follows: In FY24, Kurlon registered a revenue of approximately ₹819 crore. The brand is recognised for its long-standing presence in the Indian mattress market. Broader data from Kurlon Enterprise Limited show that total turnover crossed ₹1,100 crore during FY24, growing at a CAGR of 12.4% between FY2018 and FY2024. The company's resilience was supported by demand from tier-2 cities, healthcare, and price-sensitive segments.

The company has faced some profitability challenges, with reports of losses in certain fiscal years. For example, Kurlon reported a loss of around ₹50 crore in a recent year, reflecting competitive pressures and integration costs. Regarding net worth, exact standalone net worth figures for Kurlon are not explicitly detailed in available data, but the company’s consolidated financial results as part of Sheela Foam Limited show strong revenue growth and operating performance post-acquisition.

Sheela Foam, which acquired Kurlon's mattress business, reported standalone revenue of around ₹2,600 crore with an EBITDA of ₹235 crore and net profit of ₹112 crore for FY25, illustrating the integrated scale and financial strength. In summary, Kurlon's standalone turnover hovers around the ₹800-1100 crore range recently, with some profitability challenges.

Post-acquisition, combined with Sheela Foam, the consolidated mattress business's financials are significantly larger, with Sheela Foam leveraging Kurlon's brand and distribution to grow revenues and improve margins. This overview reflects Kurlon’s revenue and financial position in the mattress market context as integrated into Sheela Foam's larger mattress business portfolio. Precise standalone net worth for Kurlon alone is typically embedded within consolidated group filings post-acquisition.