New corporate name reflects “expanded vision”
By Alan Wolf, YSN
Tempur Sealy International will formally change its name to Somnigroup International (SGI) on Feb. 18.
The rechristening follows Tempur’s hard-fought acquisition of Mattress Firm earlier this month for $5 billion in cash and stock.
“We are thrilled to announce a new name to our expanded vision,” said Chairman/CEO Scott Thompson. The new corporate moniker “reflects our position as a global holding company and provider of sleep solutions as well as the future direction of the company.”
Somni, he explained, is a contraction of the Latin “somn,” or sleep, and “omni,” or all, while group represents the company’s multichannel strategy.
Second-Quarter Sell-Off
Under terms of the Mattress Firm merger, Somnigroup will sell 73 of the retailer’s shops as well as its 103-store Sleep Outfitters retail business to Mattress Warehouse. The divestitures are expected to conclude in the second quarter.
“We have collaborated with Mattress Firm for over 35 years and we are thrilled to welcome them into the Tempur Sealy, soon Somnigroup, organization,” Thompson continued. He said the merger creates “a leading global bedding company with extensive manufacturing capabilities and a broader U.S. retail footprint,” and will accelerate its U.S. omni-channel strategy.
All in the Family
Going forward, the company’s three remaining components — the Tempur Sealy manufacturing arm and Mattress Firm and U.K.-based Dreams retail chains — will operate as decentralized business units under the Somnigroup umbrella. The retail businesses will continue to carry multiple mattress brands while Tempur will continue supplying its sister divisions, third-party retailers and its own direct-to-consumer channel, the company said.
“Together,” said Thompson, “the companies are positioned to facilitate enhanced product innovation, improve the customer buying experience and ensure high-quality, durable products are brought to market.”
“We look forward to continuing to improve people’s lives through better sleep for the next 100 years and beyond,” he said.
