German holding company Haniel buys majority stake in Emma, a Frankfurt-based "sleep tech" startup

Haniel Group has agreed to purchase 50.1 percent of Emma, a German company developing products to improve sleep quality. Its two founders, Manuel Müller und Dr. Dennis Schmoltzi, will each retain a 24.95 percent stake in the company and remain as co-CEOs. Dr. Schmoltzi emphasized the growth opportunity that comes with the acquisition: "This includes the expansion of international business as well as the development of new business areas around the topic of sleeping. In partnership with Haniel, we are able to become the leading sleep tech player worldwide at a much faster pace.” As part of the transaction, existing investors sold their shares to Haniel. The transaction does not include a financing round; the German company claims it is growing profitably on its own. Founded in Frankfurt in 2013, the direct-to-consumer brand has won awards for its bed-in-a-box mattresses and ships to 21 countries. The company website reports €150 million in revenue in 2019. Further details about the transaction were not disclosed, and the deal awaits approval by the anti-trust authorities.