Sleep Country Canada makes deal to sell company for $1.7 billion

Sleep Country Canada Holdings Inc., the popular mattress company started by a Mississauga native, says it has agreed to be sold for around $1.7 billion.

The deal would see a subsidiary of financial holding company Fairfax Financial Holdings Limited to acquire all issued and outstanding common shares of Sleep Country for $35 per share.

The sale is expected to close in the fourth quarter of 2024, subject to court approval and other customary conditions. Once completed, Sleep Country says it will apply to have its common shares delisted from the Toronto Stock Exchange.

Sleep Country president and CEO Stewart Schaefer says the transaction “clearly demonstrates the value and strength of our brands and organization.”

Started in 1994 by Mississauga native and co-founder Christine Magee, Sleep Country is known for the radio jingle “Why buy a mattress anywhere else?” The Canadian company was launched in Vancouver and has grown to some 250 stores across the country.

Sleep Country’s co-founder Christine Magee, who chaired a special committee of independent directors that oversaw the negotiation, says the deal provides “certainty of significant and immediate value to shareholders.”

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Prem Watsa, chairman and chief executive of Fairfax, says the company looks forward to working with Schaefer and the entire Sleep Country team “to further develop this remarkable Canadian success story over the long term.”

– With files from Insauga.com