SGI Somnigroup International Inc.

Somnigroup International Inc. has proposed an all-stock acquisition of bedding component supplier Leggett & Platt Inc. Somnigroup, owner of brands like Tempur, Sealy, and Dreams, believes this merger would bring significant strategic advantages and efficiencies, including a compelling premium and tax-advantaged participation for Leggett & Platt shareholders. Leggett & Platt's board is currently reviewing the unsolicited proposal.

Somnigroup International Inc., parent company of Tempur Sealy International, has proposed to acquire all outstanding common shares of Leggett & Platt in an all-stock transaction. The proposal offers L&P shareholders Somnigroup common stock with a market value of $12 for every share of L&P common stock, representing a 30.3% premium over the average closing price during the last 30 trading days. Leggett & Platt would continue to operate independently under the Somnigroup umbrella, retaining its management team and a presence in Carthage, Missouri.

Somnigroup, formed from Tempur Sealy International's acquisition of Mattress Firm, is proposing to acquire Leggett & Platt (NYSE: LEG) in an all-stock deal valued at approximately $1.6 billion. The offer provides Leggett & Platt shareholders a 30.3% premium and aims for L&P to operate independently under Somnigroup's umbrella, retaining management and employees, while benefiting from Somnigroup's backing and lower cost of capital. Somnigroup expects a response to its proposal by December 22.

Somnigroup International, parent company of Mattress Firm, has offered to acquire Leggett & Platt for $1.6 billion in an all-stock deal. This proposed acquisition aims to merge a leading bedding retailer with a manufacturer to create a "bedding behemoth," leveraging strategic advantages and efficiencies for the combined entity. The offer values Leggett & Platt at $12 per share, a 30.3% premium over its average closing price.

Tempur Sealy International, Inc. reported a record Q3 2025, with net sales up 63% to $2.1 billion and adjusted EPS up 16% to $0.95, driven by the Mattress Firm acquisition and strong performance in international operations. The company anticipates achieving $100 million in sales synergies and $100 million in annual run-rate net cost synergies from the Mattress Firm combination, while also announcing a strategic passive investment in Kingsdown and plans to return capital to shareholders starting Q1 2026. Management expressed confidence in continued growth, emphasizing the benefits of ongoing innovation, advertising strategies, and the potential impact of falling interest rates on profitability.

Kingsdown, a North American luxury sleep solutions company, announced that Somnigroup International Inc., the parent company of Tempur Sealy International and Mattress Firm, has made a passive minority investment in Kingsdown. This investment signifies Somnigroup's confidence in Kingsdown's brand, heritage, business model, and growth trajectory. Both companies emphasized that this partnership aligns with their respective values and aims to broaden market reach and ensure continued growth in the U.S. and Canadian bedding markets.