Dormeo N.A. has signed a letter of intent with the US subsidiary of Sinomax to take an equity stake in the company. Financial terms were not disclosed and the deal is expected to close by late August.
For Dormeo and Sinomax, the deal is an extension of a business relationship that has been evolving of late. Sinomax has been the source of Dormeo’s successful pillow line, its recently introduced mattress topper and the coil supplier for its office chair program.
"We are extremely pleased to enter into this important strategic partnership with Sinomax. Their global scale, extensive supply chain expertise and broad industry relationships will provide Dormeo with significant operational advantages going forward,” said Dormeo NA Chief Executive Officer Jon Stowe. “This is a unique opportunity for us to accelerate the distribution reach for our highly differentiated Dormeo - branded products and provide our customers with the extraordinary levels of customer service that they expect and deserve. We look forward to efficiently closing this transaction and moving Dormeo to the next level in the specialty sleep solutions category."
“Dormeo’s revolutionary propriety products that are extraordinarily unique in the sleep products business,” said Sinomax USA President and CEO Frank Chen, “and we see a great opportunity to work with their management team to expand its reach throughout the world.”
For more information, visit dormeo.com
About Dormeo: For more than 10 years, DORMEO has been a leading mattress brand in Europe and Asia. Making its North American debut in 2012, the company introduced its patented Octaspring in the U.S. Market. A breakthrough in mattress technology, the Octaspring's individual memory foam springs work together to form the core of the revolutionary Octaspring mattress. With its U.S. showroom and distribution center in Plano, TX, DORMEO N.A. is part of Studio Moderna Group, a leading European multi-channel direct marketing company.
About Sinomax: Located in Houston, Texas, Sinomax USA delivers innovative memory foam lifestyle and comfort through distribution in California, Texas and South Carolina, as well as full vertical integration in China. Sinomax serves its partners by providing innovative design, growth, competitiveness, and expert merchandising.