(Bloomberg) -- Online mattress retailer Casper Sleep Inc. is working with Morgan Stanley and Goldman Sachs Group Inc. on a U.S. initial public offering, according to people with knowledge of the matter.

The New York-based company could go public as soon as this year or the first half of 2020, said the people, who asked not to be identified because the information is private.

Casper, which sells and delivers mattresses directly to consumers, reached a $1.1 billion valuation this year in its most recent private funding round. Target Corp., New Enterprise Associates and Dani Reiss, the chief executive officer of Canada Goose Holdings Inc., are among its investors.

The company could attain a higher valuation in an IPO, one of the people said.

Representatives for Casper, Morgan Stanley and Goldman Sachs declined to comment.

Despite poor performances by high-profile listings including Peloton Interactive Inc. and the collapse of WeWork’s IPO plans, many companies are still aiming to go public before end of the year.

Casper, which has expanded its products to include bedding, pillows and bed frames, operates in the U.S., Canada, the U.K., Germany, Switzerland and Austria. CEO Philip Krim said in March that the company’s next big international market would be Asia.

The company also plans to open hundreds of physical stores. Part of its motive for going public is to raise capital for that expansion, one of the people said.

(Updates with Casper’s response in fifth paragraph)

To contact the reporters on this story: Crystal Tse in New York at ctse44@bloomberg.net;Alistair Barr in San Francisco at abarr18@bloomberg.net

To contact the editors responsible for this story: Liana Baker at lbaker75@bloomberg.net, ;Jillian Ward at jward56@bloomberg.net, Michael Hytha, Matthew Monks

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