Softbank offloads THG stake to founder Matthew Moulding

Japanese investment giant Softbank has offloaded its stake in THG to the group's founder and Qatar Investment Authority, representing its entire shareholding in THG.

THG has announced that Softbank has agreed to sell 80,621,797 ordinary shares of £0.005 each in the capital of THG. This will see Qatar Investment Authority and THG's Matthew Moulding receive 67,801,285 and 12,820,512 shares, respectively.

Moulding’s purchase will take his direct and indirect holding in THG to 320.9 million shares and represents his fourth investment in THG since the IPO, with over £38 million invested in August 2021, July 2022 and October 2022.

Matthew Moulding, Founder and CEO of THG, said: “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 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.

“I’m incredibly proud of the progress the team continue to make in each of our major divisions, and believe the uncertain macro-conditions provide an even greater opportunity for THG to further disrupt global beauty, nutrition and technology markets.”

Founded in 2004 by Moulding, THG owns brands including Lookfantastic, Glossybox, Cult Beauty, Illamasqua and ESPA.

In July 2022, THG terminated its link-up with Softbank, citing "global macroeconomic conditions". SoftBank first became an investor in the group last year, injecting approximately £609 million ($730 million) cash into the business.

This came after a 90% plunge in the value of THG’s shares over the past year - taking it to a valuation of around £880 million – following concerns over the value of the Ingenuity business and criticism of the group’s corporate governance.