REG - THG PLC - Acquisition of Biossance

THGAnnouncement

05/12/2023 07:15

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RNS Number : 6410V  THG PLC  05 December 2023

05 December 2023

 

 

THG PLC

Acquisition of Biossance, a prestige clean beauty brand

 

 

THG PLC ("THG" or the "Group"), has agreed to acquire prestige skincare brand
Biossance for a maximum consideration of $20 million.

 

Since inception in 2015, Biossance has generated global revenues of c. $300m
and is currently stocked in over 1,600 stores globally including Sephora,
Harrods, Space NK, Douglas and Selfridges plus online through
www.biossance.com (http://www.biossance.com) , Lookfantastic and Cult Beauty.

 

The brand's curated skincare range of cleansers, creams and serums is centered
on its innovative ingredient technology and a commitment to sustainability,
with price points ranging from $15 to $74.

 

Financial Impact

·      THG is acquiring Biossance from US biotechnology group Amyris
Inc., which recently commenced voluntary Chapter 11 proceedings.

·      An auction was held on 30 November 2023 with THG declared as the
successful bidder for assets including IP, plus inventory and debtors with a
book value of $29m.

·      Closing is expected to follow in mid-December, with integration
completing in Q1 2024.

 

Matthew Moulding, CEO of THG, commented:

"We are delighted to acquire the pre-eminent skincare brand Biossance. The
technology-led, clean chemistry formulations resonate with consumers globally,
evidenced by a strong performance on our own retail sites.

 

"We have significant experience in prestige skincare as an innovator and
manufacturer, and through our own brand portfolio including Perricone MD and
ESPA. We're incredibly fortunate and excited to secure this opportunity to
work with the Biossance team and further build on the brand's strong awareness
across the US.

 

"The fit within THG is perfect, with Biossance already generating c. $2
million in revenue across our retail sites in the past 12 months. Integration
on to the Ingenuity platform will commence as soon as the deal is finalised."

 

 

 

For further information please contact:

 

 Investor enquiries - THG PLC
 Greg Feehely, SVP Investor Relations                                    Investor.Relations@thg.com (mailto:Investor.Relations@thg.com)

 Kate Grimoldby, Director of Investor Relations and Strategic Projects

 Media enquiries:
 Powerscourt - Financial PR adviser                                      Tel: +44 (0) 20 7250 1446
 Victoria Palmer-Moore/Nick Dibden/Nick Hayns/Russ Lynch                 thg@powerscourt-group.com (mailto:thg@powerscourt-group.com)

 THG PLC

 Viki Tahmasebi                                                          Viki.tahmasebi@thg.com (mailto:Viki.tahmasebi@thg.com)

 

ENDS

 

Notes to editors

THG is a vertically integrated, digital-first consumer brands group, retailing
its own brands in beauty and nutrition, plus third-party brands, via its
complete commerce solution, Ingenuity, to an online and global customer base.
THG's business is operated through the following divisions:

 

THG Beauty: A digital-first brand owner, retailer and manufacturer in the
prestige beauty market, with a portfolio of own-brands across skincare,
haircare and cosmetics. Through its retail websites, including Lookfantastic,
Dermstore, Cult Beauty and the beauty subscription box brand GLOSSYBOX, it is
a route to market globally for over 1,300 third-party premium brands. THG
Beauty also operates prestige spa and experience venues, in addition to luxury
clothing and homeware D2C sites.

 

THG Nutrition: A group of digital-first Nutrition brands, which includes the
world's largest online sports nutrition brand Myprotein and its family of
brands (Myvegan, Myvitamins, MP Activewear and MyPRO), with a
vertically-integrated business model supported by global THG production
facilities.

 

THG Ingenuity: Ingenuity provides a complete commerce solution tailored for
enterprise brand owners. Its solutions are designed to accelerate growth
across its three pillars of technology, marketing and operations. With a
heritage in building direct to consumer brands, it is uniquely positioned to
bring pertinent, pragmatic, and global expertise across all aspects of
commerce.

 

 

Cautionary Statement

Certain statements included within this announcement may constitute
"forward-looking statements" in respect of the group's operations,
performance, prospects and/or financial condition. Forward-looking statements
are sometimes, but not always, identified by their use of a date in the future
or such words and words of similar meaning as "anticipates", "aims", "due",
"could", "may", "will", "should", "expects", "believes", "intends", "plans",
"potential", "targets", "goal" or "estimates". By their nature,
forward-looking statements involve a number of risks, uncertainties and
assumptions and actual results or events may differ materially from those
expressed or implied by those statements. Accordingly, no assurance can be
given that any particular expectation will be met and reliance should not be
placed on any forward-looking statement. Additionally, forward-looking
statements regarding past trends or activities should not be taken as a
representation that such trends or activities will continue in the future. No
responsibility or obligation is accepted to update or revise any
forward-looking statement resulting from new information, future events or
otherwise. Nothing in this announcement should be construed as a profit
forecast. This announcement does not constitute or form part of any offer or
invitation to sell, or any solicitation of any offer to purchase any shares or
other securities in the Company, nor shall it or any part of it or the fact of
its distribution form the basis of, or be relied on in connection with, any
contract or commitment or investment decisions relating thereto, nor does it
constitute a recommendation regarding the shares or other securities of the
Company. Past performance cannot be relied upon as a guide to future
performance and persons needing advice should consult an independent financial
adviser. Statements in this announcement reflect the knowledge and information
available at the time of its preparation.

 

 

 

 

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