From Strategy to Success: How Hobaho Regained Independence Through a Management Buy-Out

Theo, the Managing Director, explains: “Hobaho has been around for over a hundred years and specializes in the brokerage and auctioning of flower bulbs, tubers, and perennials. Originally a family business, it was taken over over the years by major players such as Bloemenveiling Aalsmeer (now Royal FloraHolland) and later Dümmen Orange. However, following a strategic reorientation at Dümmen Orange, opportunities arose to make Hobaho independent again.”

Arno, Manager of Supply Chain Services, recalls the pivotal moment: “We had to make a choice. Either let the parent company find a new owner or take matters into our own hands and pursue independence. For us, it wasn’t a difficult decision; we wanted to be in control. We knew Hobaho better than anyone else and believed in an independent future for this reputable company.”

Hans, Financial Administration Manager, adds: “We quickly found ourselves on the same page. For our employees as well, this seemed like the right path; they preferred to see us move forward independently.”

A solid plan is just the beginning; a successful acquisition requires expert guidance. Theo continues: “The idea of a management buy-out emerged during a conversation with our account manager at Rabobank. Through them, we quickly got in touch with Rembrandt M&A. The connection was immediate. Rembrandt brought not only in-depth expertise but also a broad network of suitable specialists, such as legal experts, who supported us at every step.”

From the initial discussions, it was clear that Rembrandt’s approach went beyond the transaction itself. The deal team was exceptionally well-balanced. “They immediately understood Hobaho’s unique position and what was needed to make the company independent again,” explains Hans, Financial Administration Manager. “Negotiations are ultimately a bit like a game of chess; the seller wants to secure good terms and sufficient guarantees, but as a buyer, you want the same. In such situations, you need advisors who keep you focused, steer the process at the right moments, and maintain calm.”

The analogy of an acquisition as a marathon came up frequently during the process. “Of course, we wanted to act quickly and complete everything at a fast pace,” says Theo. “But Rembrandt helped us realize that patience pays off. They continually emphasized the importance of pacing ourselves and strategically choosing the right moments to accelerate.”

A key element in this approach was the inclusion of MGF as a minority shareholder. Arno explains: “Rembrandt introduced us to MGF, an investment fund with expertise in management buy-outs. They took a minority stake with a clear agreement that the shares would eventually be sold back to us, allowing us to become the sole shareholders of Hobaho in two stages. This is another example of Rembrandt’s added value; they thought proactively and ensured we could move quickly.”

Hans adds: “Rembrandt positioned Hobaho as a robust and forward-looking SME, with a realistic and clear valuation. This enabled us to enter negotiations with confidence.”

That confidence paid off. “We were able to reach a favorable agreement with Dümmen Orange, one that satisfied all parties,” says Arno. “The moment the acquisition was announced, and our employees spontaneously organized a celebration, was the ultimate confirmation. It felt like a victory and reassured us that we had made the right choice.”

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