Royal companies, crown jewels and family companies on the Dutch stock exchange

Editorial
Tuesday, April 26, 2022 3:10 PM

AMSTERDAM, 25 APRIL 2022 – Plays violin for pocket money and sells ceiling stitching on a rug; King’s Day is also a modest earning moment for many people. Flea on the king’s birthday Saxo Bank markets through Orange glasses to highlight royal organizations, crown jewels and family businesses.

In the Netherlands, there are currently 623 organizations, associations and companies bearing the term ‘royal’. The term was instituted in 1806 by King Louis Napoleon, making it the oldest royal ornament in our country. To be eligible, an organization must, among other things, have a good financial reputation, have existed for at least a hundred years and be a Dutch company.

Below are five well-known royal organizations (in order of popularity among Saxo Bank investors).

Royal Philips
Engineer Gerard Philips started the Philips bulb factory in 1891 together with his father Frederik Philips. Philips grew rapidly as they developed more and more products. Meanwhile, the Eindhoven-based company mainly produces medical equipment but also personal care products. Philips shares are currently suffering from problems with sleep apnea devices, where hospitals are delaying purchases and many devices need to be recalled.

Royal Ahold
Ahold is a multinational with Albert Heijn, Bol.com and Gall & Gall in their custody. Ahold merged with Delhaize Group in 2016 to form Ahold Delhaize while retaining the crown. More than two-thirds of Ahold’s revenue is generated outside the borders of our kingdom. Ahold Delhaize is number five in size in the US and fourth in Europe measured in supermarket shares. Recently, Ahold announced that it is partnering with delivery services Deliveroo and Thuisbezorgd.nl to respond to the growing trend of flash delivery.

Royal KPN
Until 1998 KPN was called Koninklijke PTT Nederland NV and before that Staatsbedrijf der Posterijen, Telegraaf en Telefonie (abbreviated PTT) and until the division of TNT Post in 1998 also included the national postal company. The telecommunications company has a market value of 13 billion, and the growth in the share is mainly due to fiber optic ambitions in the company, which is based in Rotterdam.

Royal DSM
The specialty chemical company Koninklijke DSM was founded after the Dutch coal mines closed their doors due to the discovery of Groningen gas. DSM is currently worth more than 27 billion and decided last year to focus entirely on nutrition. Therefore, Limburg-based DSM recently sold its protection materials division to the US company Avient for 1.44 billion euros.

Royal Heineken
Heineken is a Dutch multinational with more than 300 beer brands and active in 190 countries worldwide. The green giant is the largest brewery in the world after the Belgian Anheuser-Busch InBev. Heineken was hit hard during the corona crisis, but in the meantime, the stock is on its way back to pre-pandemic prices. Of concern to Heineken is the rising grain price due to the war in Ukraine, and price increases for a beer have already been announced.

A big name missing from this list is Shell. The well-known oil and gas company had been ‘Royal’ since 1890, but at the end of last year chose to become fully British. Royal Dutch Shell thus became Shell. “Extremely painful and regrettable,” said CEO Ben van Beurden. This does not prevent Saxo Bank investors from trading in Shell. Shell is firmly at the top of the list of most sought-after and best-selling stocks, according to the latest Saxo Market Sentiment from April.

Airfrance-KLM is also missing from this list of companies with the crown, because only the French shares are available via the Saxo platform. Queen Wilhelmina, moreover, awarded the designation to KLM immediately after its founding in order to emphasize “the importance of the beginning of civil aviation right after the First World War”. A unique event.

About the nomination

Some examples of companies that on track To achieve the Royal designation, the chip machine manufacturer is ASML Holding, the semiconductor company ASM International (ASMI) and the payment company Adyen. In order of popularity among Saxo Bank investors, these three crown jewels are explained below.

ASML
ASML has been listed since 1995 and originates from a joint venture between ASMI and Philips in 1984. It is the most important Dutch high-tech company. The chip machine manufacturer publishes excellent results again and again with the forecast that 2022 will bring 20 billion in revenue, for the first time in the history of the Eindhoven manufacturer.

ASMI
ASMI is a supplier of production machines for the semiconductor industry. It is considered a founder of the European chip machine industry, founded in 1968. ASMI’s order book is also jam-packed, and as with ASML, there is currently the greatest focus on recruiting staff to meet demand.

Adyen
The payment processing company Adyen in Amsterdam is relatively young. Adyen was founded in 2006 and twelve years later the founders van der Does and Schuijff rang the bell on Beursplein. It provides online payment systems on the Internet and is active in 27 countries. Adyen’s success since its IPO has led investors to support the next Dutch technology marvel. There was even an Adyen effect. Meanwhile, Adyen has a lot to fear from the Irish-American Stripe, which also focuses on companies, and from Mollie, which mainly focuses on SMEs.

Monarchy

King Willem-Alexander is a descendant of William I, who was consecrated in 1814 as the first king of Holland. Since then, the oranges have been our princes. So we have been dealing with our royal family for a while, and the same goes for some family businesses listed on the Amsterdam Stock Exchange. Explained below are HAL, Sligro and Hunter Douglas.

HALL

The name of the investment company HAL is derived from Holland America Line. With its sale, the van der Vorm family founded HAL Holding at the end of 20ste century onwards. HAL has large investments in, among others, Vopak, SBM Offshore, Coolblue and FD Mediagroep. HAL has also been a shareholder in Boskalis for over thirty years and recently made an offer to completely take over the dredging company. HAL recently made good money from the sale of GrandVision and must therefore invest again.

sligro

Sligro is derived from ‘Slippens Groothandel’. The wholesale business in the food industry was founded in 1935 by Abel Slippens Sr. The grandson Koen Slippens is currently the CEO here. Sligro Food Group has been listed on the Amsterdam Stock Exchange since 1989.

Hunter Douglas
Hunter Douglas is the world’s largest manufacturer of blinds (blinds) and a leading manufacturer of construction products. The Sonnenberg family is by far the largest shareholder. The company was started in Germany in 1919 by Henry Sonnenberg. His son Ralph (87) is now a majority shareholder and chairman of the board. His sons David and Marko are co-CEOs.

In short, there is a generous supply of royal shares, and there are also a number of possible heirs to the throne. Of course, it applies to all the above shares that there is no investment advice to invest in these companies. These are just a few well-known names that are also popular with the Dutch Saxo investor. If you are still considering investing in one or more of these stocks, it is important to first read carefully about the company in question. More information, price history and financial data are available via our platform, but also – and more comprehensively – on the companies’ websites.

Investing involves risks, your investment may be worth less.

The information on this page is not intended as individual investment advice or as an individual recommendation to make specific investments. The remuneration of the author of this article is / was / will not be directly or indirectly related to his specific recommendations or views. Despite the fact that Saxo Bank exercises all possible care in preparing and maintaining these pages, and in this connection makes use of sources that are considered reliable, Saxo Bank can not guarantee the accuracy, completeness and timeliness of the information provided. If you use the information provided without confirmation or advice, you do so at your own expense and risk. No rights can be derived from the information on these pages. Saxo Bank is a trading name of BinckBank NV. Investment involves risks. Your investment may be worth less. More information about the specific product risks can be found on the product pages.

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