Banking syndicate to invest £515m in Cheshire-based Hut Group
Growing e-commerce business The Hut Group (THG) has secured a new nine-figure revolving credit facility from a syndicate of 10 banks and investment firms.
The Cheshire-headquartered company, known for digital fitness brands such as Myprotein and IdealShape, said it will use the £515m boost for infrastructure development and strategic initiatives that could include mergers or acquisitions within its beauty and wellbeing business.
THG has made a number of acquisitions already this year, having snapped up hosting company UK-2 Limited, skincare and spa brand ESPA and Australian beauty firm RY.
Today, the company’s business portfolio trades in 30 currencies across 140 websites covering 47 languages.
International sales now account for 73% of THG’s overall revenue.
THG’s founder and chief exec, Matthew Moulding, said: “The continued confidence in the strength of our business shown by HSBC, Barclays, Santander, Lloyds, RBS, Bank of Ireland and Silicon Valley Bank is testament to their belief in our ambitions and ability to deliver.
“We are extremely pleased by the additional support of Citibank, AIMCo and JP Morgan, all of which are international banks, and further support our transformation into a truly Global Group.”
He continued: “This year has seen a real acceleration in investment for THG, especially across Beauty, infrastructure, technology and talent.
“This substantial new credit facility is another important step for the Group and provides us with even more firepower to pursue our ambitions for further significant international growth.”
Elizabeth Wareing and Martin O’Shea, of law firm Addleshaw Goddard, advised The Hut Group on the transaction.
Matt Morgan and Aidan Fittis from Pinsent Masons advised the financial syndicate, which comprised HSBC, Barclays, Santander, Lloyds, RBS, Bank of Ireland, Silicon Valley Bank, Citibank, JP Morgan and AIMCo.
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