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Lake Tekapo
21 October 20214 minute read

DLA Piper Canada advised Hush Blankets‎‎ on its acquisition by Sleep Country

On October 22, 2021, Canada's leading omni-channel specialty sleep retailer, ‎Sleep Country Canada Holdings Inc. (‎‏“‏Sleep Country”) (TSX: ZZZ), acquired a majority share ‎of Hush Blankets Inc. (‎‏“‏Hush”).

Hush is a Canadian-based, direct-to-consumer sleep retailer specializ‎ing in weighted blankets, pillows, sheets, and most recently bed-in-a-box mattresses. ‎Founded by Lior Ohayon and Aaron Spivak (Forbes 30 Under 30 selections and winners), Hush launched its weighted blanket in 2018 and is one of Canada’s fastest-growing digital retailers. Within its first 24 months, the ‎company initiated one of the 10 most successful Kickstarter campaigns ever and earned "Most ‎Epic Pitch" of the 2019 Dragons’ Den season. Hush will continue to operate as an independent entity led by Ohayon and Spivak in their respective roles, with a board comprised of the senior management of Sleep Country and ‎Hush.  ‎

Sleep Country acquired a 52% majority stake in Hush for an initial amount ‎of $25 million. Sleep Country will acquire the residual 48% of Hush in annual 16% stake ‎increments thereafter starting March 31, 2023. ‎

DLA Piper (Canada) LLP acted for Hush on this transaction, with a team led by Robert Fonn and Nicole Kapos and including Kevin Fritz and Dennis Yee (tax), Matthew Demeo (employment), MacKenzie Jordan (securities and capital markets), David Spratley (IPT), Tudor B. Carsten (litigation), Catherine A. Pawluch (regulatory) and Stephen R. Morris (real estate).

‎"Robert and the DLA team have been a pleasure to work with — extremely responsive and great attention ‎to detail,” said Founder, Lior Ohayon. “We felt taken care of all the way until close and couldn't be happier ‎with our choice of lawyer. Thanks Rob!" ‎

With lawyers across Canada and globally, DLA Piper is strategically positioned to serve and support ‎emerging growth companies wherever they do business. In today's challenging environment, we ‎provide a range of strategic legal services to emerging companies that are designed to ‎‎assist businesses at every stage of their life cycle.