Online retail group and former UK tech unicorn THG (THG) has seen founder Matthew Moulding significantly increase his personal stake in the business. Moulding, alongside the Qatar state fund, together mopped up 80.6 million shares, Moulding buying 12.8 million at 39p in a £5 million deal.
The shares became available after Japanese technology investor Softbank, previously one of its key backers, announced (17 October) the sale of its stake, taking a massive haircut in the process.
Softbank had paid $540 million for the stake in 2021, yet sold it for just $35 million, or approximately £31.4 million.
It comes as a much-needed show of confidence in THG, whose shares have lost 95% of their value since peaking at 796p in January 2021, slashing its market value to £722 million.
This is Moulding’s fourth stock purchase since the IPO (initial public offering) in 2020, deals that have seen the THG boss spend more than £38 million. The purchase takes his direct holding to 198.7 million shares, representing in excess of 15% of the company.
In addition, Moulding holds 122.2 million unlisted ordinary shares taking his total shareholding to 320.9 million shares.
Moulding commented:’ I'm delighted to be further increasing my family's stake in THG, continuing our unswerving support following on from other recent share purchases.
QIA (Qatar Investment Authority) shares the Board's vision of the scale of opportunity for THG, building a British global success story in large and growing addressable markets. QIA's long-term investment approach is a positive endorsement for the UK as a whole.’
CREAKING FOUNDATIONS
CEO of housebuilder Vistry Group (VTY) Gregory Fitzgerald purchased an aggregate 500,000 shares at 557p this week (19 October) for a cost of £2.78 million.
Shares in Vistry, formerly known as Bovis Homes have more than halved in 2022 along with other housebuilders as higher interest rates have hit sentiment towards the UK property market.
The government’s botched unfunded mini budget in September pushed up borrowing rates resulting in the cost of mortgages rising to over 6% compared with around 2% a year ago.
Fellow housebuilder Bellway (BWY) revealed (18 October) a moderation in demand for new homes since August and cut its full year sales target.
