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You're Already Ready!
You might have seen some exciting activity on our social channels over the past few days, as we celebrated the new era of Myprotein.
Tuesday marked the launch, and after almost 18 months of work behind-the-scenes, numerous consumer surveys and ongoing market research, it was great to see it all come to life through our Creator Day at THG Studios.
Every decision we’ve made from start to finish of this rebrand has inspired by our customers and our role to empower, and champion, everyone with a healthy intention.
This project has been a huge feat of work but, together, we are on our way to being the world’s most empowering health movement.
Credit to Bulletproof and THG Studios
THG Myvitamins Myvegan MP Activewear Selfish
#yourealreadyready
Myprotein, and all the brands within the My family, including Myvegan, MP Activewear and Myvitamins are on a mission to become the world’s most empowering health movement – championing everyone to live a healthier, more active life.
For the past 18-months, teams across THG Nutrition have been working on a brand evolution to bring their newly defined mission and values to the outside world.
Whilst the products our customers know and love inside the packaging will stay the same, it’s a complete brand overhaul, informed by consumer surveys, global market research, website testing, and over 14 hours of internal interviews 💡
Yesterday marked the launch of the rebrand, but the team are only just getting started. Over the coming months, they will continue to make improvements, placing our customer at the heart of everything they do.
"We wanted to break down the barriers in what can be seen as an intimidating category and set the standards for others in this space to make the industry much more inclusive. It is our responsibility as a brand, as a team and as individuals, to champion and empower everyone; that is what this new era will do.” - Neil Mistry, CEO of THG Nutrition.
Watch their latest brand film 👇
Credit to Bulletproof and THG Studios
MM on his last LinkedIn post at the end...
"More to follow here 😉"
Look at the latest comment by Alex Chisnall yesterday, a podcast host ex BBC, seems like MM did do a podcast interview with Gary Neville which will be out soon we hope. Now that will be an intriguing watch, summer blockbuster to come!
Posted on LinkedIn 10mins ago...
https://www.thgingenuity.com/resources/infographics/dermstore-reduces-ecommerce-providers-from-30-to-one-with-ingenuity
Myprotein shows off its all-new look that’s been in the works for a year and a half
https://www.stack3d.com/2023/08/myprotein-2023-rebrand.html
Kelso's narrative is that MyP are at the forefront of a healthy eating drive, and the food industry are about to witness a major shift, and this is what all major retailers want, one of the biggest shifts in retail driven by government and importantly institutions.
Some organisations are calling for unhealthy food manufacturers to be treated like Cigarette companies!!
FMCG's will become so desperate for healthy brands, hence why Kelso say MyP will eventually be snapped up by one of the major FMCG's.
Most have missed this link. It's no coincidence Kelso name checks Tesco in one of their latest RNS's!!! And then we have a Tesco account manager role cropping up at THG Lol. Joining the dots is quite easy.
As some have alluded, I reckon MyP has signed some sort of major partnership with Tesco.
Tesco has a very ambitious target to have healthier products by 2025, and it can only achieve this by adopting major brands like MyP.
Once Cereals, Yoghurts, Cheese, pizzas, frozen meals etc all start hitting the shelves soon at Tescos then Globally, MyP becomes a different beast altogether.
Also many may have missed this crucial point, how Institutions invest in ESG compliant companies, major institutions now want to understand the healthy product mix in major retailers! For major retailers like Tescos its not a choice, they have to make the change. For MyP its a win win situation. No wonder they are seizing the opportunity in this major shift, they see whats coming, and quickly introducing a full array of new products under the MyP brand.
Sir Terry Leahy must have opened the doors with any deal with Tesco.
Exciting times ahead, plenty of new products, in major retailers, expanding the range internationally, growth should be tremendous, once all rolled out, and news should be relentless.
BIG Caveat, for LTH's, all this only if THG remains listed!!!
Currently you can buy into all of this for £0, THG Nutrition market value is Nil LMAO
https://www.investegate.co.uk/announcement/rns/kelso-group-holdings--klso/investment-in-thg-plc-update/7629620
Www.financialexpress.com/business/brandwagon-myprotein-launches-tareeke-anek-maksad-ek-campaign-ahead-of-independence-day-3202309/lite/
Seems like a lot of activity in India recently.
Market potential and growth could be insane!!
Matthew Moulding - £10,231,988
Charles Allen - £1,511,855
John Gallemore - £447, 979
Susan Farr - £49,994
Total - £12,241,816
Has any other company on the LSE had this level of Director buys? Serious question.
This is just pure cash buys out of their own pockets, no handouts etc.
Because what I find extraordinary, if any other company has even a £50k Director buy, you normally get a big bump up, but with the fugazi here £12.2 Million, and we have hardly ever got a reaction like other companies get, got to make you laugh/cry LOL
Said it then, will say it again, a super smart move, totally underestimated by most, and naysayers (plenty at the time) simply dont get it!
Tens of Millons spent on advertising, and now those £££ gets shifted from THG to guess what THG again, net effect for THG internal spend on ads through City AM will be NIL, totally visionary, absolutely blind sided the city, nobody had a clue or even got a whiff.
The massive cherry on top we have the tech division which is Ingenuity, a full roster of top FMCG clients and hundreds of other retailers who would want to advertise, and we can tap into it just like that. Eg Expect Nestle, Coca Cola, Matalan and Maximo product ads coming to a City AM near you!
Not even going to go into all the non monetary benefits City AM will bring to THG and MM.
City AM will become the "go to" business media for thousands, most media outlets are ruined by the "dark arts" whether business/politics etc, people are totally fed up, they dont want to read the pond scum narrative anymore, no late night phone calls for running a certain narrative here, MM will turn City AM into a breath of fresh air.
THG paid a measly amount for City AM, payback period will be rapid.
My thoughts have been quite simple:
From MM's post lets say current valuation simply values Ingenuity.
How can 2 major divisions then be valued at £0 or close to £0, there is no logic.
It's not an argument that THG Nutrition and THG Beauty are currently worth £1b each, and it's a question of is it worth £1.5b or £2b or more etc. Its the fact that it's valued at next to nothing which has made it the easiest investment decision for me. BOD/Kelso/multiple PE firms all agree, THG was worth £3 a share 5 years ago! Its a totally different company from 5 years ago. Its a much stronger company than IPO @£5, much stronger than £5.96 Softbank deal, and much much stronger than when it reached the highs @£8+.
Ignoring the fugazi market, the only "real" value marker is PE/M&A/US peer. We know less inferior nutrition companies attracting valuations from 5-11x revenues.
At the low end 5x valuation, Nutrition alone would be valued at £2.80, here lies the problem, we are so far away, it's totally mind boggling. How much is MyProtein brand valued at?
You then have Beauty division, and can have the exact same arguments, owning several major brands inc ESPA & Perricone md!
There is something very wrong, seriously wrong, they have options, many options, it's all about an unlocking event, whatever that maybe. Most realise this, and are not even contemplating at selling, MM is now very vocal, the trolls now have zero impact, and most gone into hiding. They all know whats about to happen here, including the shorters, it's just inevitable a massive rerate is upon is.
DYOR
CVC Only 2 weeks ago...
CVC raises €26bn for largest buyout fund in history
https://www.ft.com/content/dc45174f-532e-42b2-a0cd-521f77261d22
Whichever way you cut it, it can never ever explain this disparity LOL......
Thg Beauty
Sales £1.25 b
Market cap £0
Elf Beauty
Sales £620m
Market cap $7.3 Billion
Thg Beauty
Sales £1.25 b
Market cap £0
Elf Beauty
Sales £620m
Market cap $7.3 Billion
A 2 year old can work out something is very clearly wrong here.
Note: Totally understand there are other factors here, but something looks seriously wrong here, a total disconnect is an understatement, how can this division be valued at nothing, it's beyond belief!
Forget the 10x valuation elf has, just for starters just give THG Beauty x1 valuation, and it's 100p added to current share price straight away, hence why PE are knocking, and separation would instantly unlock value, or for that matter any other corporate action.
UK market is officially dead.
Completely forgot about them, but just read, last week they built a stake over at Dr Martens!
https://news.sky.com/story/activist-fund-sparta-builds-stake-in-dr-martens-after-share-price-slump-12929833
https://www.retailgazette.co.uk/blog/2023/03/thg-activist-investor/
Must have only bought in a small amount like Kelso, but unlike Kelso not heard a peep from them since. Is Frank Tuil engaged and working with the BOD? We have had multiple gamechanging news since it was 1st reported Sparta jumped onboard!
Exactly like Wood Group we did very quickly see an Apollo bid several weeks after Sparta joined the party!
@Manifesto
I do agree with a few of your points, however there is some misinformation and misunderstanding on some of your points which you keep and reiterating.
1.
"MM is just an employee..Fact"
Figuratively speaking, yes. IMO Total misunderstanding. Eg Like saying Rishi is an employee of the people and the state, but he wields more power and decision making authority than most if not all!
Hence, reality and truth is totally opposite of what you say. He is not "just" an employee. He is CEO/Founder/Largest shareholder, with more knowledge of THG than anyone else, and more decision authority than anyone else, wielding 99%+ approval at AGM, he is THG. Just read some of the Institutional Investor notes from Sofina & Balderton why they invested, one of the main reasons is HIM, thay have invested in Matthew Moulding Inc. Whether you like this or not, it's a different matter, we all have choices where we invest.
2.
"IMHO MM will never get the most out of THG for shareholders as he cannot face the idea that it would be more commercially successful if split up"
Total misinformation here.
As CEO & Chairman he initiated and instructed the separation, which would allow THG optionality. Spending tens of million to get this done succesfully under the original timetable, something this complicated should not be underestimated.
Original plan WAS to separate Beauty and have it listed on an exchange. So he did want the separation. What I am not happy about is having said that, nearly 2 years on, and it's not happened, like many other things. Looking back when this statement was made in Sept 21, share price was £6+, as we all know since then through allsorts of very different reasons, share price quickly fell, so a totally different environment. Even before Ukraine war/cost of living, pond scum and fugazi dropped it from £6+ to £1.20 in just a few months.
However it is now all coming to a head and this is getting sorted one way or another. All governance issues have now been fully dealt with. It's all about the unlocking event, whatever that maybe. Quickest and easiest and most effective way is separation, this is exactly what a PE firm would do, and this is why they are all interested, MM said this himself in his last post!
Ultimately I do agree with your final remark, he needs to unlock value for shareholders asap, or PE firm will do it for us. He has a fiduciary duty to maximise value for shareholders, SO FAR, he has totally failed. Hopefully Apollo and other PE firms have given him a kick up the backside, and this changes quickly for LTH.
Albeit saying all this, most likely outcome by far is MBO, we all know he hates the markets, hates everything about it, therefor for the life of me cant see him having 3 separate listed companies, operating "like swimming through treacle" would take on a whole new meaning. Lol
Its simple, if I hated the BOD and CEO like some, I would never invest, there is a choice in life.
IMO,
I know we have gone over this a million times..
1.
Management Buyout
Take it private again. Most widely accepted scenario. All recent activity points in this direction, It's what MM wants, and will make him the happiest, away from the limelight and grow the company.
However there are a number of other credible options.
2.
Separate the divisions.
With currently 2 divisions assigned next to no value, with all 3 divisions listed separately, market cannot ignore the value. For us shareholders this may be more accreditive than even MBO! This was the original plan. Originally mooted in H1 2021 update in Sept 2021.
In one of MM's most recent posts he delves into this idea of separate divisions, he said each division would be worth more than the whole market cap today. Kelso repeatedly also seem to be calling for the separation of Nutrition!
https://www.investegate.co.uk/announcement/rns/thg--thg/interim-results-for-the-half-year-ending-30-jun-21/6865324
3.
Sell 1 of the divisions.
Sell at multiples. 2 divisions are assigned no value. Sell one at M&A multiples, and instantly unlock the value. IMO very unlikely. If its any division, it would have to be Beauty. Nutrition potential as we have recently seen is off the scale. And Ingenuity is the golden goose.
4.
Sell to PE.
Unlikely, but still possible, akin to a take private really, main holders would have to roll in etc. and cave into all of MM's demands. Outright sell to a PE, unless they drop an insane amount, no chance.
5.
Premium listing.
IMO very unlikely, definitely not in its current form.
6.
List Ingenuity in the US.
A good possibility. US understand tech. They appropriate a much higher value, and appreciate it more.
7.
Sell an equity stake in a division.
Like Celcius and others.
Sell an equity stake at a huge premium in one or more of the divisions. Eg FMCG like Nestle buying 20% of Nutrition at 7x revenue multiple, or Tech firm buying into Ingenuity, it would underpin the market value.
MM knows status quo is not an option.
Absolutely nobody knows, but whatever happens, I am super confident THG will not exist in its current form within the next few months.
I think most now know this with all the major news eg ICON Sold, GS gone, Dubai investors meet, all of MM's posts etc. With GS gone, time is ticking to drive the value up, otherwise it will always be on the radar of giant PE firms, as with all the possibilities above, they can inact any of the options and multiply the value instantly. Path is easy, Its either MM does it himself, or worst case for MM PE firms will do it for him, as a shareholder, i'm not bothered as long as maximum value is realised.
Have I missed any options??
Couldn't help reading this everywhere. A few musings...
With the cost synergies, instantly profitable!
British paper owned by a Brit, you can't say that too often. Someone who has tried to do his best for the UK, but vilified instead!
Perfect business fit for not only THG and all its brands, but all Ingenuity clients, from his LinkedIn, Vivek closed the deal.
Absolutely no one had this scoop, no mutterings whatsoever, a bolt from the blue. Shows any news can drop anytime without any warning.
Without some serious serious influence, you dont buy a media outlet like CityAM, at a negligible cost, there would be a long line of takers, domestic and foreign vying for influence and a pet trophy! Not quite sure how he's pulled this move off. No doubt Lord and Co must have had some input here.
He can change the narrative, has his own indirect mouthpeice now, going out to the masses. Editorial independence, yeah heard that one before Lol
THG friendly MarkK (seems like the only one lol) from sky news is also a reporter for CityAM, uncanny coincidence!!
Just some of the comments on his post tells you all you need to know - smart, visionary, fantastic, genius, interesting, huge, powerful...
Trolls will be finding all the negatives as always (not looked back at anything today), it's their job, just from a business perspective, fantastic move, rather than line someone elses pockets, line your own instead. He has no operational input, like he says plenty of people with much more expertise in this area.
Opportunities are endless, THG Inegenuity via its high tech division (valued at nothing by the market ;)) can totally transform CityAM and its digital offerings.
Buying into THG, thought id be buying into 3 different businesses, never in amillion years thought would also be buying into Media, however big question, for how much longer, is this another duck lined up??? As MM says, Watch this space ;)
Whether you like him or hate him (dont understand the "investors" that hate the CEO with a passion, thousands of other companies out there! But we know its just fugazi and pond scum, investors my axxe, posting a million times a day hating on the CEO they claim to be invested in LMAO), one thing you can say about MM, with everything thrown at him by the pond scum, BALLS OF STEEL. He doesn't care what people say or think, he has got to where he is, by being HIM!
Lastly, MM seems like he's on holiday, he did say Florida next after his Dubai trip.....