Velvet Cichlid to acquire the remaining 32% stake in Sleep Cycle for SEK862m.

Velvet Cichlid, a company controlled by a consortium consisting of GLA Invest, MCGA, h265 and Petter Wallin, offered to acquire the remaining 32% stake in Sleep Cycle, a Swedish provider of software solutions, for SEK862m. “I founded Sleep Cycle in 2009 with the purpose of empowering people to improve their health through better sleeping habits. Since then, Sleep Cycle has grown fast, and today we have over 2m active users in more than 150 countries. This journey has been a great source of professional and personal pride for me, and the journey reached a pitstop when the company went public in 2021, which was an important step in the company’s development. Today, the world is radically different, and we now live in a turbulent environment with great economic uncertainty that will impact the company's ability to grow. In order to achieve the growth and profitability targets that the company has set, and to maintain Sleep Cycle’s leading market position in a highly fragmented market, long-term investments will need to be made in product development and market expansion. Our assessment is therefore that these investments are better made in a private environment," Maciej Drejak, Sleep Cycle Founder.