Mattress Firm Owner Takes Majority Stake in Sherwood Bedding

May 30, 2017  by Larry Thomas in Business Strategy, Industry   

Sherwood, a family-owned company based in Fort Lauderdale, Fla., currently has four U.S. factories, and plans to open additional facilities in the Northeast and Pacific Northwest. The company makes product under its own label, but also is a supplier of private-label bedding to several major retailers. 

“We are extremely excited to partner with Steinhoff to continue to grow our mattress business,” said Neil Ellman, co-president of Sherwood. “With their deep industry experience, we will focus on accelerating our growth plans and further integrating vertically into raw materials.”

The deal represents Steinhoff’s first venture in mattress manufacturing in North America. The company, which has about 130,000 employees in more than 30 countries, is a manufacturer and retailer of furniture, household goods, clothing, footwear, accessories and automobiles in Europe, Africa, Australia and Asia.

The Mattress Firm acquisition was Steinhoff’s first retail venture in North America.

“This was an opportunity to take on a partner that will work with Sherwood and our management team to expand for the future,” added Lance Ellman, co-president of Sherwood. “Existing management, along with Neil and I, will continue to operate the business, and we are excited about the long-term growth of the company. Steinhoff brings a worldwide network of suppliers to the table. We believe this will enable us to continue to offer exceptional value to all of our customers.”

Terms of the transaction were not disclosed. It is expected to close by July 15.