RE: Two fingers to you Matt Moulding!12 Feb 2026 17:01
JFYI
The CEO of a FTSE 250 company is not allowed to issue misleading information to the market. Doing so is illegal and constitutes a serious breach of UK financial regulations, potentially leading to severe criminal and civil penalties.
Listed companies and their officers (including CEOs) are subject to stringent regulations overseen by the Financial Conduct Authority (FCA), designed to ensure market integrity and transparency.
Such actions constitute market abuse and can lead to severe penalties, including imprisonment for the CEO and massive fines for the company.
Here is a breakdown of the regulations and consequences based on the Market Abuse Regulation (MAR) and the Financial Services and Markets Act 2000 (FSMA):
1. The Legal and Regulatory Framework
Market Abuse Regulation (MAR): Under MAR, it is illegal to disclose inside information unlawfully or engage in market manipulation.
FCA Rules (Disclosure and Transparency Rules - DTR): Listed companies must ensure that any information released is not misleading, false, or deceptive.
FSMA Section 397: It is a criminal offence to knowingly or recklessly make a statement, promise, or forecast that is materially misleading, false, or deceptive, or to dishonestly conceal material facts.
Section 90A FSMA: This allows investors to claim for losses if they relied on misleading information published to the market.
RNS issued by THG 17th September 2024
https://www.lse.co.uk/rns/escc-transfer-ingenuity-demerger-update-11s0rr0th1uzg9o.html
1. Highly Profitable (The "Paper" Success)
Profitability is an accounting metric. It’s what is left over after you subtract expenses from revenue. When a company is "highly profitable," its margins are excellent—it earns a lot of money for every dollar it spends.
2. Cash Generative (The "Wallet" Success)
Cash generation (often called Free Cash Flow) refers to the actual physical money moving into the company’s bank account. A "cash generative" business is one that consistently produces more liquid cash than it spends to keep the doors open.
So no concerns then as according to the RNS..
"...Post a demerger, the Group would consist of THG Beauty and THG Nutrition, two globally leading consumer businesses, which are highly profitable, cash generative and capable of paying dividends....." End
JAO Adyor!!!!