The Hut Group secures $1bn for yet more beauty acquisitions
The owner of Espa, Glossybox and Lookfantastic has secured a new $1 billion banking facility as it continues to build its beauty and wellness portfolio to become the global digital leader in the sector.
The Hut Group said the facility, provided by Barclays, HSBC, Santander, Citibank and JP Morgan, will help it fund its international expansion, particularly in the US and Europe.
The British group had previously secured a £600m credit facility for what it described as “strategic initiatives”, provided by its wider banking syndicate including Bank of Ireland, Lloyds, JP Morgan and Silicon Valley Bank.
Coupled with the new £195m facility, the group has now £795m at its disposal for further acquisitions. The move gives The Hut Group “significant firepower” to build its portfolio, said CEO Matthew Moulding.
It builds on the group’s stellar performance last year, with sales growing by 47% to £736m driven by a string of acquisitions including Glossybox, ESPA and Illamasqua. The group also owns RY.com.au, Mio Skincare and Beauty Expert.
“We are delighted with the continued backing from our lenders whose participation in this new facility demonstrates their belief in our plans for future growth and strong acquisition strategy,” said Matthew Moulding, chief executive.
“The world of beauty and wellbeing is being transformed globally by a digital channel shift and the explosion in high growth, small to medium-sized independent brands.
“This $1 billion (USD) facility gives us significant firepower and makes us a serious player in building out our portfolio of Beauty and Wellbeing brands. We are uniquely well-placed to become the global digital leader across such an exciting sector.”
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