BCD Holdings shareholder John Fentener van Vlissingen's private investment firm has increased its share in U.K.-based Hogg Robinson Group to 13.14 percent, making the firm the largest single shareholder in Hogg Robinson, according to filings with the London Stock Exchange.
Beverweerd Investments, the Zeist, Netherlands-based wholly owned subsidiary of van Vlissingen's Boron Management investment firm, increased its share from more than 10 percent, which it acquired in March following the initial buy into Hogg Robinson, the parent company of travel management company HRG, in mid-December
(BTNonline, March 6). Today's filings show that on April 29, Beverweerd, acting on behalf of Boron, increased its stake, surpassing institutional investment firm F&C Asset Management's 11.25 percent share in Hogg Robinson.
In a meeting yesterday with
Business Travel News, van Vlissingen would not discuss further Hogg Robinson investment plans, saying that talking about his plans "would limit my flexibility." In March, Boron and BCD Holdings spokesperson Mario Bruna said the share acquisitions were "purely a long-term investment." According to van Vlissingen, anything that formerly was part of BCD Holdings that was not travel related has been moved to Boron, and that they only thing the two have in common is their shareholder.
Boron could not be reached for comment and Hogg Robinson declined comment.
According to Kean Marden, capital markets head of research at London-based investment bank Kaupthing Singer & Friedlander Group, London Stock Exchange regulations state that if van Vlissingen "comes out and says that he is building a stake and wants to bid, he will be required to bid. You can't sit there and destabilize a business by claiming you might bid for it."
Marden said Hogg Robinson remains profitable despite the cyclical nature of its business and the slumping economy. However, a previous seven-year relationship between BCD and Hogg Robinson in the BTI joint venture, ongoing joint clients, differences in market presence—with BCD larger in the United States and HRG larger in the Far East and some parts of Europe—and van Vlissingen's latest investments could suggest a new tie-up in the future. "We know that the two businesses have operated together harmoniously in the past and there is merit in the combination," Marden said.