Bed-making giant Tempur Sealy International (Lexington, Kentucky / USA; www.tempursealy.com) has bought UK bed manufacturer Dreams (High Wycombe; www.dreams.co.uk) for USD 475m (EUR 390m), saying the deal would speed up Tempur Sealy’s growth in Europe’s largest bedding market and sixth largest economy in the world.

Founded in 1985 as a bed retailer, Dreams grew to become a familiar part of the UK High Street and one of the country’s better-known UK bed manufacturers. It was bought out of administration in 2013 by private equity firm Sun European Partners.

Tempur Sealy said Dreams generated sales of approximately USD 400m and EBITDA of around USD 75m for the year ending 31 December 2020. The new acquisition will be operated as an independent business unit, led by its current management team, including CEO Mike Logue. Tempur Sealy chairman and chief executive Scott Thompson said Dreams had “created a strong retailer brand and business model, known for its outstanding products and customer service”.

“This acquisition better positions both organisations to service customers and bring innovative products to market. We look forward to welcoming the entire Dreams organisation to the Tempur Sealy family.”