The Hut Group‘s (THG) M&A tear continues with the acquisition of British contract manufacturer Acheson & Acheson and skincare brand Ameliorate in a deal Sky News reported to be worth between £50MM and £100MM.
WHO: Acheson & Acheson, founded in 1992 by Fiona and Kenneth Acheson, provides a range of services for brands including product design and development, formulation development, international sourcing, product testing, UK manufacturing and distribution. They also own skincare brand Ameliorate, which is sold at Selfridges, Boots, Harvey Nichols, and Marks & Spencer.
The Hut Group was founded in 2004 by chief executive Matthew Moulding and CFO John Gallemore, and retails more than 8,000 brands and operates more than 160 localized web sites across 35 languages and 42 currencies. The group said its platform receives more than 500 million visits annually. Other holdings include Eyeko, Illamasqua, ESPA, Skinstore, RY, Glossybox, and Lookfantastic.com.
WHY: The Hut Group is planning to spend up to 50 million pounds to replicate Acheson & Acheson across Europe and the US, as part of its strategy to widen its stake in the beauty and wellness markets by investing in new brands and technology services.
IN THEIR OWN WORDS: “In Acheson & Acheson, we have made a significant investment and one that uniquely positions THG to make a step-change in its innovation, operational excellence and manufacturing capacity,” Matthew Moulding, the group’s chief executive officer, told WWD.
- The Hut Group acquired British contract manufacturer Acheson & Acheson.
- Terms of the deal were not disclosed but Sky News reported the deal is understood to be worth between £50MM and £100MM.
- Ameliorate is included in the purchase and will subsequently be added to THG’s brand portfolio.
- Acheson & Acheson has up to 350 employees—50 of whom work exclusively on product development and innovation—and has a 78,000-square-foot manufacturing facility in Somerset, outside London, as well as a storage facility and head office.
- All of the company’s facilities, as well as its in-house label called Ameliorate, will be added to THG’s portfolio.
Photo: Louis Reed via Unsplash