Announcement Beter Bed Holding
25 June 2019
- Beter Bed Holding launched a new strategy in October 2018, which has resulted in a strong performance in the Benelux region and an improving performance in Sweden. However, the recovery of Matratzen Concord turns out to be more time-consuming than initially anticipated, which is causing liquidity constraints.
- To ensure a stable financial platform for the short-term, Beter Bed Holding is in constructive dialogue with the banks to address short-term liquidity, to temporarily waive the covenant testing of 30 June 2019, and to work with each other with the intent to consider a longer-term financing solution that is aligned with the new structure when certain milestones have been met. As part of this dialogue, Beter Bed Holding has agreed to provide the banks security on certain assets.
- Beter Bed Holding has initiated the investigation of various alternatives for a full or partial exit of Matratzen Concord.
- The key focus of Beter Bed Holding will be to accelerate the strong performance in especially the Benelux region, which performs ahead of plan in both profitability and sales growth. Increased focus will be on the already improving performance in Sweden, and on boosting the Digital and Wholesale channels, where the current growth rates are ahead of what was initially anticipated.
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