Online retailer The Hut, which is considering an IPO later this year, has acquired sports nutrition etailer Myprotein.com in a deal understood to be worth about £58m.
The acquisition will bolster The Hut’s health and beauty offer and complement its men’s style and grooming site mankind.co.uk, and strenghthen its international operations.
Myprotein.com has sites in the UK, France, Germany, Ireland, Italy and Spain - all countries where The Hut, which operates websites in categories ranging from entertainment to fashion, has a presence.
The deal will bring international sales to about 40% of The Hut’s total, which is expected to be about £160m in 2011. Myprotein.com is anticipated to generate sales this year of about £25m - up from £16m in 2010.
The Hut founder and chief executive Matthew Moulding said: “Myprotein.com is an outstanding business. Opportunities to partner with businesses of the scale of Myprotein that are continuing to grow at 50% in 2011 are few and far between.
“The addition of Myprotein to The Hut’s operating platfrom is another milestone in our ambitions to become one of Europe’s leading online players.”
Myprotein.com founder and chief executive Oliver Cookson will join The Hut’s board after the deal is completed and run the company’s lifestyle division.
Cookson said: “Myprotein’s range of award winning products coupled with The Hut’s leading technology platform and extensive customer base will help take Myprotein a step closer to becoming Europe’s leading sports nutrition brand.”
The Hut, which is chaired by former Matalan chief executive Angus Monro and counts former M&S chairman Sir Stuart Rose among its investors, is though to be close to naming brokers for a flotation which may come as early as this autumn.