Furniture company Koala is aiming to raise $20 million in new capital and list on the ASX, with the profitable company on track to substantially grow revenue this year.
The company will issue $20 million worth of new shares as part of the initial public offer while existing shareholders will sell $48.1 million worth of shares, for a total of $68.1 million available to new investors.
The company will be valued at $305.3 million on listing following the capital raise.
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Company growing strongly
The prospectus says the company was founded in 2015 and experienced early success selling its Koala mattress, "quickly becoming a leading Australian mattress brand''.
The company launched in Japan in 2017, and in 2018 launched its first sofa product in Australia, with that range also subsequently expanding to Japan.
The prospectus says further:
In November 2023, Koala launched in the US market with a targeted expansion and disciplined investment, delivering significant early growth. In 2025, Koala expanded its international footprint further with the launch into the UK market.
Chair Michael Gordon said the company was well-placed for growth.
As a furniture company, Koala is exposed to the global furniture market, which benefits from tailwinds including the growth of e‑commerce, increased time spent at home due to the shift to remote work, a desire to maximise the utilisation of living spaces, a growing emphasis on convenience, premiumisation, and the demand for more sustainable products. The business has a significant opportunity before it to grow in Koala's established markets, scale its presence in newer markets and enter into additional markets over time to grow the business. The global furniture market has shown relatively steady and consistent rates of moderate growth in Koala's key categories. Koala's ability to enter new markets and scale is driven by its capital‑light business model and in‑house innovation capabilities, which enables the team to promptly adapt to changing consumer needs and market trends.
Chief executive officer and cofounder Dany Milham said in the prospectus the company was dedicated to providing quality, durable furniture.
He said the company's success internationally, "reflects a broad appeal for Koala's Australian design, innovation, and brand''.
Koala trading profitably
The prospectus shows that the company generated revenue of $276.7 million in FY25, and made a net profit of $6.6 million.
The company is forecasting FY26 revenue of $332 million and net profit of $12.3 million.
The company will be named The Koala Company Ltd and trade under the ticker KOA.
The offer period for new shares closes on March 24, with the shares expected to start trading on the ASX on 31 March.
