After an M&A tear The Hut Group (THG) has been quiet since last fall, but they are back at it on the heels of increasing its bank borrowing to $1bn (£766MM) earlier this month. THG acquired the Parisian natural haircare brand Christophe Robin.
WHO: Established in Paris in 1999 by its namesake, celebrity colorist Christophe Robin, the brand’s products are aimed at maintaining scalp health, nourishing hair, and protecting color. The formulations have more than 80% natural ingredients, and are free from parabens, silicone, SLS, oxidants, ammonia, and are not tested on animals. The brand consists of more than 70 products across 10 ranges, and is stocked in multiple countries, including the UK, the US, Europe, and Asia through retailers such as Sephora and Space NK. It also sells on Robin’s web site and on THG-owned lookfantastic.com.
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. THG has become one of Europe’s largest online retailers of premium beauty brands. Other holdings include Eyeko, Illamasqua, ESPA, Skinstore, RY, Glossybox, Lookfantastic.com, and Grow Gorgeous, Ameliorate, and Acheson & Acheson.
WHY: The transaction represents a further strategic investment in its international beauty offering, furthering THG’s goal of becoming the global digital leader across the beauty and well-being sector.
IN THEIR OWN WORDS: Matthew Moulding, chief executive officer of The Hut Group, commented: “Christophe Robin products are a perfect addition to THG’s portfolio of brands, with a strong ethos and positioning within the haircare market. We will leverage our world-class e-commerce platform, THG Ingenuity, and our global marketing structure to take the brand to new customers across the world. Natural beauty products are continuing to take the industry by storm and combined with the brand’s expertise in luxury haircare, this is an exciting time for us to invest in the brand, product development and people, to deliver the next stage of growth.”
Christophe Robin, founder, added: “Together with my CEO and partner Géraldine Hieronimus, we are proud of growing the Christophe Robin brand by an average of over 40% over the last three years and exporting our unique natural luxury French hair care products to more than 35 countries. I am excited to see my brand continue its adventure going forward with The Hut Group. I am looking forward to seeing Christophe Robin continue to innovate and grow with The Hut Group’s strong resources.”
- THG acquired Christophe Robin Haircare.
- The Christophe Robin salon in Paris’ second arrondissement was not part of the transaction.
- Terms of the deal were not disclosed.
- According to Sky News the brand is understood to have sales in 2018 of £13MM, with annual growth of more than 40% in the last two years.
- THG has been a long-term partner of the French brand, with one-third of the brand’s sales coming through THG’s digital platform.
- Earlier this month, Shanghai Pudong Development Bank became an investor in THG, reflecting its growing presence in Asian markets, which generate over 20% of group sales.
- THG had sales in excess of $1.2 billion in 2018, driven in part by its beauty portfolio.
- THG was advised by DLA Piper, Deloitte, and EY. Michel Dyens & Co. acted as exclusive financial advisor to Christophe Robin.
Photo: via Christophe Robin