Minneapolis-based airbed maker and retailer Select Comfort has acquired Greenville, S.C.-based competitor Comfortaire in a deal valued at $15.5 million.
Select Comfort is best known for its Sleep Number brand of airbeds and operates 410 company-owned stores. It had sales of $935 million in 2012. Comfortaire, founded in 1981, is an airbed manufacturer and marketer owned by mattress maker Park Place Corp.
In the deal, which closed Jan. 17, Select Comfort bought the business and assets of Comfortaire, which posted revenues of $10.5 million in 2012 and had 24 employees. Select Comfort plans to operate the company through an independent subsidiary.
“This investment progresses our role as the leader in delivering innovative products as part of an individualized sleep experience, while also strengthening our company’s competitive advantages,” said Shelly Ibach, Select Comfort president and chief executive officer. “Specifically, with Comfortaire, we anticipate benefits from the convergence of intellectual property.”