THG has completed a £90m fundraiser as it requested a debt refinancing and equity raise to support “strategic growth targets.”
THG has completed a £90m fundraiser as it requested a debt refinancing and equity raise to support “strategic growth targets.”
Founder and chief executive Matthew Moulding contributed £60m made up of a £55m convertible loan and £5m of partly paid shares.
He subscribed to £31.2m worth of shares at a price of 32.3p, which was a 5% discount on the day before’s closing price.
The retailer said it was “oversubscribed” with support from new investors and existing shareholders, as the remaining £30m was raised by a placing of new shares.
The refinancing will reduce the company’s overall debt and extend its £150m revolving credit facility in the term to May 2029.
The company said in a statement to the London Stock Exchange: “Following on from the Ingenuity demerger and FTSE 250 inclusion, the equity placing and collective refinancing represents another significant step in THG’s simplified debt and equity investment case as a cash-generative global retailer and brand owner, well positioned to deliver on its next phase of development in its growing consumer markets.”
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