The Hut Group - THG - Share Chat

A cynic might suspect that certain private equity entities could have an interest in talking down the stock in order to get a better deal at an acquisition :thinking: on the fundamentals the stock appears rather undervalued.

Think you might be on to something!

I do get where you are going with your comment, but I think it would be a hard sell to shareholder as we all know that the protein business and the beauty business are worth more than the current share price by a fair bit as I can’t find it now but I know analysts has already said those 2 are easily worth between 1.5-3 billion plus you have the other parts of the business on top and if Matt Moulding was part of the buyout he would not be able to vote on it so he couldn’t force it through.

It may well be that the company will look to sell the beauty business instead of a listing as that would give them a decent amount of money which they could give to shareholders…

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Not sure what to make of this article.

Almost a pound a share ooooo nice. Maybe it’s time for a buy

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A long awaited RNS released today and THG is blue in a sea of red.

Tue, 22nd Feb 2022 07:00

RNS Number : 3525C

THG PLC

22 February 2022

22 February 2022

THG PLC

Statement regarding THG Beauty and the recent share price movement

THG PLC (“THG” or the “Group”) notes the fall in the share price yesterday and confirms that it knows of no notifiable reason for the share price movement.

In response to recent media speculation regarding the restriction of supplies to THG Beauty, THG can also confirm that:

· Dermalogica has not placed and is not looking to place any restrictions on its trading relationship with THG Beauty, including with regard to the supply of stock.

· The Dermalogica and THG Beauty trading relationship is over 10 years in length and whilst it remains very positive the overall revenues generated are de minimis to the Group, at c.0.1% of FY 2021 sales.

· It is not aware of any other key supplier to THG Beauty who has or who intends to reduce supply or take any similar steps in relation to THG Beauty.

· THG Beauty added over 200 new beauty brands to its retail destination sites, on a net basis, during FY 2021.

THG entered the beauty market at the end of 2010 and, as THG Beauty, has since grown into a business delivering prestige beauty sales of £1.1bn during its 2021 financial year. THG remains focused on building long-term relationships with its suppliers.

THG Beauty is the pre-eminent, digital-first brand owner, retailer and manufacturer in the prestige beauty market, providing a global route to market for over 1,000 third-party beauty brands. This makes THG a key partner for brands looking to deliver growth in digital sales.

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All very well but it doesn’t answer why the price has taken such a battering

Only 8p more come on we can do it

Markets move on sentiment, and sentiment moves at the whim of humans. Sometimes the reason for a market’s move is because the market moved, nothing more, nothing less. The rise of retail traders operating at the tap of a screen has made this more and more pronounced.

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On a bright note if you ask for printed share certificates you could use them for a feature wall. :melting_face:

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£1 we made made it

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Something is happening…

and

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Possibly getting ready for the split up of them two companies from THG

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I got the same from ProBikeKit. I did wonder, something is a foot.

Maybe they’re not taking the whole company private but some choice bits?

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THG has made no secret about spinning off the beauty business and possibly the nutrition business this year so that is most likely why they have done this in preparation for that, it stands to reason if your doing for some it makes sense to do it for multiple business sections which is likely why its being done for most sections of the company.

I would anticipate that THG will be looking at both selling the beauty and protein business privately to private equity or spinning off and we will no doubt find out eventually.

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I have just had the same email from THG for my Zaavi account so it does look like they are doing for all the businesses within the whole group.

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I’m no expert but one of the things commonly mentioned as a risk with regards to THG is their governance issues, including CEO and Chairman being one person. Is this in anyway related to improving governance arrangements?

I wonder if the last days signal the start of a sustained rally. It would nice but I won’t be counting any chickens for a while yet

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Finally a change at the top. Followed by a brief rally. Then sadly the price fell back.
Still a change was needed so perhaps this is the catalyst of a decent recovery :crossed_fingers:

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