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As Peter Lynch says:

the SP can increase when a very bad company becomes a bad company. Much more needed for a real turnaround (beauty is still decreasing, just slower).

But still happy about the results and SP rise ofc :)

THG RemainCo will show its cash flow positivity after MM took it private.

I'm curious for the next "one-off" in the coming trading update

Why is THG Nutritions margin so low? Competitors have higher margin.

- too high and expensive head count?

- no cost advantage by using THG Ingenuity ?

- too fancy office building (rent, leases)

probably a mix of all of it.

Stanley you are repeating yourself and its getting boring with your multiple comparisons which are only based on SALES.

APN adj. EBITDA margin 13,8%

THG Nutrition adj. EBITDA margin 5,9%

so more than double!

normally THG Nutrition should have higher margin, because of economics of scale...

something is fundamentally wrong with THG Nutritions business model, that's why i wanna see a change in executive management team.

MP became market leader by selling their products for lower prices than competitors. It was during a time when money was for free (no interest or even negative interest rates).

It was a method to gain market share. This business model doesn't work out anymore tho.

I used to buy MP when i was a student.

Now they are the same price as all the other budget brands (bulk in UK for example).

THG generally struggles with organic growth. THG growth story was an acquisition story.

If MM doesn't resign, i wanna see him changing the executive management team (Lucy & Neil).

- Nutrion been struggling for way too long - just hoping that whey prices to decrease is not enough

- Beauty strategy totally unclear

but it's probably not gonna happen, because MM is way too "loyal"

"The bid must be at the highest price in previous 12 months"

The bid must be AT LEAST at the highest price in previous 12 months, doesnt it?

They probably replaced some whey protein with cheap wheat protein to lower the cost of production and hoped that nobody would notice.

MM is not even hiding the obvious governance issue

This statement in the Trading Update is so concerning:

"We are also committed to supporting Ingenuity through leveraging its market‑leading services as it embarks on its independent journey. "

No more acquisitions pls

All recent acquisitions didn't pay off so far (Cultbeauty, Dermstore, Beauty Manufacturing, etc.).

Just look at the massive write-downs.

All the cash generated through the IPO and Softbank raise was spent recklessly besides the Autostore investments - but that was stolen from us.

Just imagine the logistic part would be still part of RemainCo.

Ingenuity software + the marketing agency within Ingenuity is not necessary to run RemainCo.

Let's say next week THG Nutrition numbers will be horrible, continuing decreasing revenue and low margins. THG SP decline furthermore.

So basically circumstances changed.

Selkirk comes back and snaps it for 600M.

Unrealistic scenario?

Ok, so since we all know MM and Ian Mc D are buddies.

So Ian Mc D knew already that MM wouldn't take that deal.

What do you think was the reason to make this move and publish this RNS?

Yes, agreed.

THG is not a start-up anymore. It's time to incorporate experienced management.

That's the point. THG Nutrition performance is highly dependent on whey input prices, what they cannot control.

The MP brand is not strong enough to forward these higher prices to their customers.

The rebrand should have come with a genereal product overhaul, not just visually

„Whilst whey price reductions are anticipated to be second half weighted, new global manufacturing volumes of high concentrate whey protein will enter the market through Q1 2025, providing optimism of a more normalised commodity market ahead.“

THG Nutritions performance is highly dependent on whey input prices. Let’s see if whey prices really gonna drop from Q2 on. According to MM new global whey manufacturing should bring it down.

I don't expect any change in sentiment before TR1.

Buying pressure because of index inclusion shouldn't be that high, because THG is on the bottom of the index.

So what's the worst case scenario here?

Management buy out of RemainCo from MM for a let's say 30% premium of current SP?

Frasers involvement will be good for minority retail investors, won't it?

I've read some articles about boohoo x frasers

Frasers unveiled some fishy governance issues at boohoo.

But more interestinly, they try to stop them to sell of parts of their business for peanuts.

Everyone on this board who ever used MyProtein products would agree with me!!

MP products are just average. You buy them, because they are normally cheaper than competitors product, not better.