NEW YORK & PHOENIX--(BUSINESS WIRE)--Cerberus Capital Management, L.P. (together with its affiliates, “Cerberus”) today announced that one of its affiliates has completed a previously announced series of related transactions through which it has acquired each of Brooklyn Bedding LLC (“Brooklyn Bedding”) and Helix Sleep, Inc. (“Helix”) and combined them to form a leading direct-to-consumer (“DTC”) mattress platform.
The combined business provides customers with a broad portfolio of high-quality offerings and superior end-to-end experiences. Brooklyn Bedding and Helix will continue to operate under the iconic brand names customers know and love as part of a vertically integrated, scalable platform with best-in-class manufacturing and digital capabilities. John Merwin, CEO of Brooklyn Bedding, will lead the combined business, while Helix’s co-founders Adam Tishman, Kristian von Rickenbach, and Jerry Lin will lead its DTC segment.
“We are thrilled to begin our next chapter with our great friends at Helix,” said John Merwin, the new CEO of the combined business. “Together, we will be able to provide our customers with an even better and more engaging mattress-buying experience through our combined capabilities and broad portfolio of exceptional offerings. This is a powerful partnership that is further strengthened by Cerberus’ support and we look forward to the many benefits it brings to our teams, partners, and importantly, customers.”
Adam Tishman, Kristian von Rickenbach and Jerry Lin, who are leading the combined business’ DTC segment, added: “We built Helix around a mission to provide outstanding products through innovative, tailored experiences, and are incredibly proud of what we have been able to deliver for our customers. Joining forces with Brooklyn Bedding and Cerberus will allow us to reach even greater heights while maintaining our customer-first culture.”
Scott Wille, Senior Managing Director at Cerberus, commented: “Brooklyn Bedding and Helix each bring talented teams, market-leading products, and strong reputations to this combination. We look forward to supporting them as they continue to leverage their strengths and share their best-in-class capabilities to become the leader in the DTC mattress category.”
Credit Suisse served as exclusive financial advisor, Houlihan Lokey Capital, Inc. served as placement agent, and Simpson Thacher & Bartlett LLP served as legal advisor to Cerberus. FocalPoint Partners served as financial advisor and SheppardMullin served as legal advisor to Brooklyn Bedding. Moelis & Company LLC served as exclusive financial advisor and Bass, Berry & Sims PLC served as legal advisor to Helix.
About Cerberus
Founded in 1992, Cerberus is a global leader in alternative investing with over $55 billion in assets across complementary credit, private equity, and real estate strategies. We invest across the capital structure where our integrated investment platforms and proprietary operating capabilities create an edge to improve performance and drive long-term value. Our tenured teams have experience working collaboratively across asset classes, sectors, and geographies to seek strong risk-adjusted returns for our investors. For more information about our people and platforms, visit us at www.cerberus.com.
About Brooklyn Bedding
Brooklyn Bedding is an American manufacturer of mattresses, differentiated by master craftsmanship, a wholly owned state-of-the art manufacturing facility and exceptional customer service. Family owned since 1995, the company originated with two brothers delivering mattresses direct to customers' homes. Known as the "mobile mattress guys," John and Rob Merwin evolved their business by learning every aspect of the mattress making process. They tenaciously used every material in their inventory to pass savings on to customers, purchasing high grade manufacturing equipment and pioneering bed-in-a-box online delivery in 2008.
Today, the company owns world-class expertise in mattress engineering, achieved through meticulous attention to detail, cutting-edge equipment and patented materials created with advanced technology. Brooklyn Bedding designs and creates its entire line of high-quality bedding, on demand, in its manufacturing facility in Phoenix. In 2021, the company expanded to a new manufacturing facility in Glendale, Arizona, designed to triple production capacity. Remaining true to its roots, Brooklyn Bedding still goes the extra mile to ensure customer satisfaction, offering its expertly crafted mattresses, sheets, and pillows at an affordable price with free online shipping, a generous 120-day trial period, and a 10-year hassle free warranty period on mattresses. Additional information on Brooklyn Bedding and its suite of product offerings can be found by visiting us at www.brooklynbedding.com.
About Helix Sleep
Helix is an innovative direct-to-consumer brand platform, operating a portfolio of sleep and home goods brands. The company’s flagship brand, Helix Sleep, launched in 2015 with the goal of bringing customization to the category through individually personalized mattresses for you, based on how you sleep. Each mattress is designed to your body type, sleeping position, and feel preference using our proprietary sleep technology. Birch by Helix launched in 2019 as the company’s all-natural and sustainable sleep brand, with 100% organic certified products. The company launched Allform by Helix in 2020, representing the first step outside of the bedroom into the living room. Allform brings customization and modularity to the sofa category.
All of Helix’s brands celebrate the power of personal preferences and individuality while focusing on outstanding product quality, having won countless independently reviewed awards. Headquartered in New York City, Helix offers free shipping directly to your doorstep, 100-night trial, and value-based pricing on all its products. Additional information on Helix and the company’s products can be found by visiting us at www.helixsleep.com.