Durational Capital Management LP entered into a definitive agreement to acquire Casper Sleep Inc. for approximately $310 million, in a going private deal.
The transaction is subject to customary closing conditions, including Casper stockholder approval, the expiration or termination of the applicable waiting period under the HSR Act. Casper's Board of Directors has unanimously approved the transaction and recommends that Casper stockholders approve the transaction and adopt the merger agreement. Durational Capital Management's Board also unanimously approved the transaction. Officers and directors of Casper and affiliated investors, who in the aggregate own or control approximately 28% of the Company's outstanding shares, have agreed to vote in favor of the transaction. The transaction is not subject to a financing condition. According to the preliminary results announced at Casper's Special Meeting of Stockholders held on January 19, 2022, approximately 69.5% of the vote represented by Casper's outstanding stock were voted in favor of the Merger Agreement. The transaction is expected to close in the first quarter of 2022. As of January 19, 2022, the transaction is expected to close during the week of January 24, 2022.
Jonathan L. Davis, Joshua Kogan, Francisco J. Morales Barrón, David Sherman, Suzannah Hacking, Jason Kanner, James Dickson, Michael Krasnovsky, and Jared Whalen of Kirkland & Ellis LLP acted as legal advisors to Durational Capital Partners. Marc Jaffe, Justin Hamill, Josh Dubofsky, Ian Schuman, Adam Gelardi, Jenna Cooper, Lisa Watts, Bradd Williamson, Mandy Reeves, Jeffrey Tochner, Blair Connelly, Ryan deFord and Robert Blamires of Latham & Watkins LLP acted as legal advisors to Casper Sleep. Jefferies LLC acted as financial advisor and fairness opinion provider to Casper Sleep. American Stock Transfer & Trust Company, LLC acted as transfer agent to Casper and Innisfree M&A Inc. acted as information agent to Casper.