The Hut Group launches £515 million revolving credit facility to boost beauty profile

Following a string of major investments and acquisitions in the beauty space, The Hut Group, major online retailer, has announced the launch of a £515 million revolving credit facility.

The revolving credit facility will be used for general corporate purposes plus any strategic initiatives the Group may undertake - including possible M&A in its Beauty & Wellbeing categories, the company confirms, as well as infrastructure development.

The credit facility is provided by Barclays, HSBC, Santander, RBS, Citibank, Lloyds, Bank of Ireland, Silicon Valley Bank, JP Morgan and Aimco.

Matthew Moulding, Founder and Chief Executive Officer of The Hut Group (THG),  said: “This year has seen a real acceleration in investment for THG, especially across Beauty, infrastructure, technology and talent.

“This substantial new credit facility is another important step for the Group and provides us with even more firepower to pursue our ambitions for further significant international growth.”

What is The Hut Group planning?

In a statement released on the launch of the revolving credit facility, THG explained something of its plans for growth in the coming period.

The British-headquartered company explained that it intends to continue to invest in its own brand proposition, particularly in its ever-growing Beauty portfolio, which is powered by its proprietary e-commerce technology platform.

The platform, which generates global consumer demand insights, is the powerhouse behind THG’s continued and growing success.

It has has grown ‘significantly’ this year, according to THG and now trades on over 140 websites across 47 languages and 30 currencies. International sales at THG now account for 73% of the Group’s overall sales.

Confidence from investors

Moulding highlighted the confidence shown in THG by those banking teams involved in the transaction in a statement.

“The continued confidence in the strength of our business shown by HSBC, Barclays, Santander, Lloyds, RBS, Bank of Ireland and Silicon Valley Bank is testament to their belief in our ambitions and ability to deliver,” he said.

“We are extremely pleased by the additional support of Citibank, AIMCo and JP Morgan, all of which are international banks, and further support our transformation into a truly Global Group.”