The Hut Group is reported to have instructed a group of investment banks with a view to a potential IPO before the end of the year that would value the company on a London listing at more than £4billion.
This is good news for the post-lockdown economy in general and for the people of Manchester specifically where the company is based because it reportedly currently employs more than 7,000 people and this could be boosted by a further 2,000 new employees this year.
The company has grown quickly since it started trading in 2004 and reported a 24% rise in annuals sales to £1.1 billion last year.
This was as result of selling third-party owned brands as well as its own brands that include Christophe Robin and Eyeko and its technology platform THG Ingenuity that offers marketing support and logistics that’s licensed to large corporates such as Nestle, Proctor & Gamble, Walgreens and Boots Alliance.
As a result of this growth the company has been successful in attracting a wide range of outside investors. In 2014 the private equity group KKR invested £100million for a 19% stake.
Let’s hope that this is a sign of good times ahead post lockdown.