Stop whining27 Jul 2023 07:37
The LinkedIn post is quite clear about the goals of the City AM purchase, they may or may not be achieved, but the Board clearly see this as a great opportunity, otherwise they wouldn't have approved it.
As a stand alone investment it will wipe its feet in terms of ROI.
It will be an extra string to ingenuity's bow when it comes to attracting new customers, providing further competitive advantage for a key division.
It will help save money on advertising and provide an additional channel to target customers.
It will help control the narrative regarding UK industry, THG in particular, which can't be a bad thing when you see how absolutely rotten and easily bought our media has become. No company more than THG knows how dramatically this can impact its market value.
So for a very small cash outlay, those are the objectives. It might not work perfectly but based on THG's track record for getting stuff done, you'd be a fool to suggest they won't achieve it. And if it doesn't work out, don't panic it's not going to change anything in the core business.
Some people clearly aren't happy unless they are moaning, but personally I'm delighted to be investing in a business that shows such innovative, creative, opportunistic characteristics. I'm not sure why this absolute giant of a business is being pinned down by the pond scum, but this is just another indication that they won't let it happen without one hell of a fight.