South Africa: Vuna Partners acquires majority stake in The Bed Shop

Vuna Partners Fund I, managed by Vuna Partners, has acquired a 60% equity stake in Dynamic Bedding, trading as The Bed Shop, the largest independent bed retailer in Southern Africa. The acquisition from the current majority shareholder, Vantage Capital, sees the remaining 40% equity stake being acquired by The Bed Shop’s existing senior management.

Founded in 1994, Dynamic Bedding manufactures an extensive proprietary line of affordable, quality bed bases, mattresses and bedding accessories, exclusively distributed by its regional network of more than 100 corporate, franchise and online stores throughout South Africa, Namibia and Zambia. The company has a manufacturing facility in Krugersdorp, South Africa, and is supported by an in-house logistics and distribution team.

Vuna Partners and The Bed Shop’s senior management acquired their respective equity interests from Vantage Mezzanine Fund II, a fund manager that previously facilitated a management buyout and which is reaching the end of its investment horizon.

“The Bed Shop benefitted from a productive and valuable collaboration with Vantage,” noted Jasothan Naidu, managing director of Dynamic Bedding. “Now, by aligning management’s significant stake with Vuna Partners, we look forward to the continued implementation of successful growth strategies and to the forging of further pathways to even greater success.”

“Our investment in, and partnership with The Bed Shop, represents a compelling opportunity to leverage a well-established household name and take the business to the next level. While the management team executes their accelerated growth strategy, we are committed to driving enduring, empowered value creation over the long term,” says Siya Nhlumayo, CEO of Vuna Partners.

The Bed Shop is the third addition to the fund’s investment portfolio, following the acquisition of SA Steelpack Solutions in 2021 and 4PL Group in 2020.