Second Avenue Capital Partners and Tiger Finance closed an $80 million credit facility for Casper Sleep, an omnichannel retailer of sleep products, including mattresses, pillows and other sleep accessories. Casper will use the new financing to retire an existing credit facility and to support the ongoing working capital needs of the business.
Launched in 2014, Casper sells products to consumers in North America through its e-commerce platform, retail partners and Casper-branded stores. In January, Durational Capital Management acquired Casper in an all-cash deal to take the company private.
“When we acquired Casper, we were excited to partner with Emilie Arel, CEO of Casper, and the team to strengthen their position as an industry-leading brand,” Eric Sobotka, managing partner at Durational Capital Management, said. “We believe the choice of lenders is a vital component to the overall strategy, and SACP and Tiger share our vision for the company. Their extensive consumer expertise allowed them to provide a thoughtful financing solution that supports Casper and drives long-term value.”
“As a Schottenstein affiliate, we leveraged our deep knowledge of the furniture sector when structuring a debt solution for Casper,” Mike Sullivan, managing director of Second Avenue Capital Partners, the facility arranger and agent for the transaction, said. “Durational and the Casper team have an exciting strategy to take this already iconic company to the next level. Teaming with Tiger to provide a customized unitranche term debt solution allows the management team to focus their attention on future innovation and driving long-term growth.”
“We’ve partnered with SACP in the past to produce exceptional results for our borrowers,” Andy Cerussi, managing director of Tiger Finance, said. “With Casper, we see a strong brand, well-recognized in the market, setting a new standard in sleep innovation. We are excited to leverage our deep retail and brand experience to support the Durational and Casper teams.”