Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
@Yesimabeliever, I too am not concerned re landlord issue. i think if no capital event announced pre AGM then should be used as a protest vote to give the BoD a bloody nose/ some embarrassment
Also a point to note is that when MM LTIP award of c7-8% shares kicked in, Sofina, Balderton got diluted (as did all shareholders) but valuation did not stick and Sofina even subscribed go more shares at 596p and then c 200p post crash….i think they will break rank first if the time comes to dealing with MM failures…-and MM has not found many new friends to back him as QIA just smartly averaged down from 596p to 175p
MM will not run it into the ground but will fight the fight until he knows friends turning against him (ie QIA, Balderton and Sofina) as I’m sure they now he has hit is ceiling and to get growth and a higher value need some FMCG global partners as a listing will not cut it unless really bring on the very highly experienced execs with deeper experience
@Pmh198, its good news as THG had a court of appeal decision overturned…basically Oliver Cookson founder of MyProtein was claiming historical dilution and wanting compensation as he could have made money on the float….THG had won the original case but Cookson had won an appeal decision that statute of limitation should not apply…but that decision has now overturned…hopefully the end of the matter…no love lost between Cookson and MM…Cookson has done well as sold a lot of shares at IPO, kept c1% so at times voices his frustration as a lot us here do.
Lord Allen stepping down as Chair of Global Radio (been with Global since 2007) and moving to Senior NED role….current CEO (16 yrs in role) to become Chair
Lets hope this version of musical chairs is not repeated at THG….unless of course part of a massive capital event….lol
@Pmh198, what do you expect...its a full time job for IR/THG employees to be posting on here all day to bang the drum of the virtues of Lord Greystone and Mangani....lol....
best to keep watching the paint dry as unlikely any news until mid April as will have 3 yrs worth of separated business audited results to put in circulars
@Yesimabeliever, some here are more cynical(and rightly so) as they have been invested way before the Apollo bid, ie from IPO, from calamitous CMD day in Sept 21, from Big Mac led 170 offer etc in Apr 22 etc.. so have a greater fact based evidence around opaqueness and missed targets (notwithstanding some macro events beyond BoDs control)
@OSG, totally agree. If no progress by June AGM not only will there be a protest vote but the questions around perceived conflicts between a major shareholder who also acts as CEO may become more elevated…
Well done Marlowe…they announced a strategic review in Nov 23 and have executed a decent part of it..our BoD announced a strategy in 2021 and still to execute and instead laud themselves on divesting and closing down some small non core divisions which were not material….
Ok somebody wants shares…put in a sell order for 200k to get a dummy quote and was quoted the selling price without a discount…interesting?
Seems THG specific as others which typically correlate are not doing so…lets see what the end of the day brings
Meek Pu55y’s AI tool has gone renegade and snapped up 1m shares…price will drop back when trades reversed due to lack of funds…lol
@CraftyInvestor, you are correct that the headline is already written..:its
“Lord Greystoke and Magani take THG back into their private jungle in Knutsford, as LSE civilisation experiment fails”
@yespsb, I certainly agree with that statement. The IPO only had an allocation of 10% for PIs but he has now ended up with a lot more than that as institutional investors have bailed…..that said the current structure suits him nicely as 35% club are fragmented….conversely his mates are not investing any more so given low valuation he cannot raise more funds or make acquisitions for growth so its a stalemate on all sides….compromises will be made soon enough though and hopefully starting in April when all accounts signed off and Q1 firmed up….at this rate he is just spinning wheels and going nowhere and will not become a Lord….lol
Don’t think QIA are in the money on their long as their average is c175p….they averaged down with SBM shares as they acquired c2% at time of IPO as a cornerstone investor….unless they shorted it, or hedged against something else they are way underwater like Balderton and Sofina
@OSG, sure they did.. but hardly stretching targets for 2023...more than happy for execs to be incentivised for stretching targets, but at this stage my thinking is only around the governance that if they did grant in 2023 then should have disclosed...if in turn they are going to grant retrospectively when it comes to announcing the LTIP, well then that is just a fudge and poor behaviour by the three independents on Remco who should know better.
I wonder what happened to action for this disclosure in the 2022 Annual report (see below).... surely the BoD have not granted an LTIP to Gallemore and Sanders (MM was not to be included given he has a significant holding) and then not disclosed? Perhaps they did not grant the LTIP given all the underperformance, restructuring and redundancies....albeit I don't put if past them to award and not disclose.....lets see what they say in Annual Report as if granted in 2023 and not disclosed will only add to the protest vote at the AGM
"LTIP
In line with the Remuneration Policy approved at the 2022 AGM, the Remuneration Committee intends to grant a LTIP
award to Damian Sanders and John Gallemore during the 2023 financial year equal to 250% of base salary. This award will
vest three years after grant and will be subject to a further two-year holding period. The award will be subject to stretching
financial and strategic performance conditions which will be disclosed at the time of grant"
To 8.46% from 7.04%
@gmharg, exactly my thoughts..but alas I also think this is typical embellishment as not seeing that grand statement coming through to the bottom line ie major manufacturer…for many UK household brands….this is why analysts discount his statements or wafer thin margins…
And *unambiguous….
False statements / historic under delivery is what is holding back as SP and at present Q4 came in line with guidance which was a start, but certainly not smashing down doors yet from a low base…Q1 has no room for error otherwise he will be under immense pressure to get more lateral seasoned hires in and relinquish more day to day control
I agree it was clear and ambiguous… but in my personal opinion it was “cute” in that MM wanted to announce - “big” GMV number to plump up Q4 announcement (despite it being only an in principle deal and not fully contracted)…rolled in Q4 wins and expansions…given analysts and shareholders would always seek to benchmark MM's repeated claims in Q1 and Q2 2023 that "confident" would add greater than £1bn GMV which he cannot now even mutter under his breath
Whilst the appmt of the chair is likely to be part of the medium term separation of THG Ingenuity, I also cannot help feel that the team, despite pivoting to larger Enterprise customers just cannot translate the hype/capex spend to win big customers…the economics of the big customers who have given a slither of the business remains opaque.
Whilst GMV is a mere proxy to profitability the lauded H&B deal is not £175m for 2024 (albeit not a full year but also encompasses L’oreal and several other expanded relationships and wording was cute in the RNS.
“Today the Group also announced in its Q4 2023 trading statement, continued progress on its Enterprise strategy, signing major brands including L'Oreal, Access Corporate Group and PepsiCo, while broadening partnerships with Asda and Mondelez.
Together these partnerships will add c.£175m of incremental GMV to the Ingenuity operations and technology platform during 2024.”
Hence, the route to value in short term really needs to be something around Nutrition and to a lesser extent Beauty as margins need to be rebuilt.
If MM wants to double down on Ingenuity then he needs a capital event soon given macro window improving, but risk of left field global shock unknown given volatile geo politcal workd, so longer he leaves he may not have the upper hand…roll on April update (and AGM protest vote if nothing material announced).
I’m still pretty relaxed though given QIA, Sofina buy in price and fact MM has much of his wealth tied into this (as to other senior execs who are not baord members) and there comes a time when he has exhausted all options, he has to make concessions so as not to become a “forced seller”
GLA LTHs