HEMA saved โ€” by Jumbo? Iconic Dutch brand sold to owners of supermarket chain

In the form of two royal families marrying their children together for power, Dutch department store chain HEMA is reported likely to join the Dutch supermarket chain Jumbo’s family.ย 

HEMA has been struggling financially with creditors and has recently stared down the barrel of bankruptcy. Now, a preliminary agreement has been reached at the eleventh hour between the owners and the Van Eerd family, who own Jumbo and Dutch investor Parcom.

The deal is not set in stone yet. The Van Eerd family will inspect the department store more fully in the coming weeks, and enter discussions with banks to the tune of the required โ‚ฌ300 million.

All for one, and one for all?

We sadly won’t be seeing a JUMA or a HEMBO anytime soon. The Van Eerd family has emphasized that the two brands will be kept separate.

Instead, HEMA will be purchased under a new investment vehicle named Mississippi Ventures. The name comes from a place where the family got their inspiration to embrace “customer thinking”. Of course, we’re not sure if naming a Dutch brand after a US state is good luck.

Interestingly, it’s not the Van Eerd’s family’s first time rubbing shoulders with HEMA. Jumbo and HEMA created a separate partnership already last year.

Switching focus from international markets

Despite recent expansions into foreign markets, HEMA will turn its attention back inwards. Recent years have seen HEMA stores open in Qatar, the UAE, and Mexico. However, the new owners are feeling less internationally minded.

“HEMA obtains 90 percent of its turnover from the Netherlands, Belgium and France”, says Ton van Veen, spokesperson on behalf of the Van Eerd family, and top financial man at Jumbo, to NOS. “If you have year-on-year sales declines in those countries, you are not going to solve them with adventures in Qatar and the United Arab Emirates. That is not to say that we are going to stop that immediately, but the priority is to grow the HEMA brand in home markets.”

What happened to HEMA?

The brand known for savings has conversely become encumbered with enormous debt in recent years โ€” it hasn’t recorded a profit since 2012. The company’s debt was already negotiated down from โ‚ฌ750 million to โ‚ฌ300 million.

The prior owner, Marcel Boekhoorn, lost the group last summer. He failed to meet payment obligations, creating a conflict with the creditors. The creditors have been looking for a purchaser for the department store ever since. Under the new deal, the creditors will receive around โ‚ฌ440 million.

What do you think of this purchase? Tell us in the comments below!

Feature Image: Donald Trung/Wikimedia/CC4.0 & Jumbo

Samantha Dixon ๐Ÿ‡ฆ๐Ÿ‡บ
Samantha Dixon ๐Ÿ‡ฆ๐Ÿ‡บ
Sam isnโ€™t great at being Dutch. Originally hailing from Australia, she came to study in the Netherlands without knowing where the country was on a map. She once accidentally ordered the entire ice-cream menu at Smullers. She still canโ€™t jump on the back of a moving bike. But, she remains fascinated by the tiny land of tall people.


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Related posts

Latest posts

Hoera! The Netherlands officially has the highest gas prices in the entire EU

The Netherlands has made it to the top of the EU charts this month โ€” but pause on the applause. This is something the...

Ajax footballer injured during robbery of his home in Amsterdam

On the night of July 27, 33-year-old Ajax footballer, Dusan Tadic, was attacked by two robbers in his home in Amsterdam. Tadic, who captains one...

Dutch supermarkets are nearly a fifth more expensive than last year

Albert Heijn, Jumbo, Co-op, Dirk โ€” regardless of which supermarket you go to, you're paying approximately 18.5% more on groceries than you would have...

It's happening

The latest Dutch news.
In your inbox.