Breedinvest, the investment company of the Blokker family, has sold its shares in bed seller Beter Bed. The interest yielded tens of millions less than what it was worth a few years ago.
Breedinvest has owned a substantial interest in Beter Bed for at least 18 years. Since December, the investment vehicle of the Blokker family has accounted for more than 1.1 million shares, or a 4.7 percent interest in the listed bed company.
On Monday, the Blokker family reported to the Netherlands Authority for the Financial Markets (AFM) that this interest has been reduced to zero. Calculated with the exchange rate of that day, around 2.80 euros, the sale yielded about 3.2 million euros.
Wrong leg
You could say that the Blokker family got off Beter Bed on the wrong foot because of the deal. Because the stock market price has plummeted in recent years, mainly due to problems at the German subsidiary that has since been sold.
Four years ago, the Beter Bed share was still trading at over 22 euros. The just sold share package of the Blokker family was therefore worth almost 25 million euros at the time.
Family interests
Until April last year, the Blokker family owned the retail giant Blokker Holding, with retail chains such as Blokker, Leen Bakker, Intertoys and Big Bazar. However, to spread its risk, the family also invested outside the family business.
Via investment company Breedinvest / HB Capital, the family invested money in real estate, bonds and shares of listed and unlisted companies.
Joined Beter Bed
It is not exactly known when the Blokker family joined Beter Bed. The public register of stock market watchdog AFM goes back no further than 2006. That year, Breedinvest is in any case already mentioned as a major shareholder, with an interest of almost 13 percent.
But earlier, for example in 2002, the Blokker family was also mentioned as a shareholder in Beter Bed.
Given that long-term involvement in the bed company, the Blokker family was certainly regarded as a loyal shareholder. Other major shareholders are the Zeeman family of the textile chain of the same name and the Teslin investment fund, which is managed by the Van Beuningen family.
Commotion
In the past six years, the Blokker family has reduced its interest in steps. At the end of 2014, a commotion arose when Breedinvest appeared to increase its interest to 22 percent. This led to speculation that the Beter Bed family wanted to take over completely, causing the price to skyrocket.
However, after an incorrect report became apparent, the stock market watchdog had to stop trading in the stock. In reality, the Blokker family turned out to have lowered the stake, to 9 percent. At the time, the share was quoted around 16 euros.
Investment drama
The Blokker family therefore held the remaining 9 percent interest for almost five years. At the end of last year, it was further reduced to 4.7 percent. By then, however, Beter Bed’s course had already collapsed. As a result, the share sale brought in only about 2 million.
Had the Blokker family sold the full 9 percent package in the fall of 2016, she could have pocketed nearly $ 44 million. The actual two-stage sales ultimately brought in no more than 5.2 million euros.
No surprise
Beter Bed, which last year achieved a turnover of 186 million euros with 161 stores, says that the company was not informed by Breedinvest before the sale. “It did not come as a surprise, however, because the Blokker family has recently been making other decisions with its investments,” said spokeswoman Uneke Dekkers.
The listed company is not concerned that the Blokker family has lost a very loyal shareholder. “Beter Bed has now been in contact with the new owner of those shares. The package has passed into the hands of another party, and the company also feels very comfortable.”
Beter Bed does not want to say which party took over the shares of the Blokker family. Breedinvest / HB Capital did not call back this morning after repeated requests for comment on the stock sale.