In Brands, Insight, People, Retail

The UK-based Hut Group was founded in 2004 by chief executive Matthew Moulding and John Gallemore and operates more than 140 web sites that sell health- and beauty-related products. The business is built on a foundation of proprietary industry-leading technology, a world-class team, and a scientific approach to building global brands.

THG has a clear goal of being the global online leader in the health and beauty category and they are building that position one strategic acquisition at a time.

  • The Hut Group is one of the UK’s highest-valued private companies.
  • A £125MM investment from Old Mutual Global Investors (OMGI) in Q3 valued the business at £2.5B.
  • It employs more than 3,000 people and expects that figure to double by 2019.
  • They are on track to record sales this year of up to £750MM—a 50% increase on 2016’s figure.
  • The beauty division is expected to account for around 75% of total sales next year, as growth was outstripping its former star nutrition brand MyProtein.
  • The company expects to invest around £400MM this year on investments in technology and acquisitions, following £250MM of investment last year.
  • The business has a dedicated team of nine staff who look for new deals, but the company will only purchase a business if they are confident they can achieve 10x growth.
  • HTG takes a five-year view on acquisitions and has big targets.
  • Roughly 75% of HTG sales are made outside the UK with North America being its largest market.
  • The acquistion of RY makes the group the number-one online retailer for health and beauty in Australia.
  • To date there have been three rounds of investment in the amount of £484,000,000.
  • Existing shareholders in The Hut Group include Old Mutual Global Investors (OMGI), Blackrock, ‎the private equity giant KKR, Sofina, a Belgian investor, Artemis, Altium Capital, William Currie Group.
  • The Health & Beauty segment is a key priority for the group; the company says it expects to make “further significant investments in beauty” before the end of the year.

Beauty Acquistions This Year 

  • Cult beauty brand Illamasqua for a reported £25MM – October
  • Luxury spa brand ESPA in a reported £100MM-plus deal – September
  • Australia’s largest online hair care brand Ry  – August
  • Subscription business Glossybox – August
  • THG beauty portfolio: Lookfantastic, Beauty Box, MyGeekBox, PopInABox, SkinStore.com, Beauty Expert, Mankind, HQhair, Grow Georgeous, Mio

Sources:

The Telegraph

Prolific North

Recent Posts
Contact Us

We're not around right now. But you can send us an email and we'll get back to you, asap.

Start typing and press Enter to search