Member Info for Yorek

Apologies, I haven’t read all the posts today…but has there been a view on why Kelso chose now to issue this statement?

Is it tit-for-tat, in response to Matt buying Kelso shares perhaps? Or could news be on the horizon and Kelso want to remind everyone of their influence?

Just curious about the timing.

“Great deal, can’t believe you guys pulled this one off. Perfect fit with our own brand portfolio, and with Ingenuity - and I dare say our own manufacturing in due course too. Welcome to THG Group Biossance, you’re joining the Group at a very exciting time”

By referencing one other bidder, he’s reminding everyone of what he said in the results presentation, about the beauty industry being under pressure, while vertically integrated strong brands are reaping the rewards.

You have to follow all Matts comms to see the true picture in my opinion.

We’ve had this conversation before. All the first wave of Myprotein products in Iceland were non-HFSS (non high fat sugar salt), which is how retailers and government are defining ‘healthy’. I haven’t assessed more recent launches or the core gym-bunny range. I’m not saying I agree with this measurement….but that’s what investors are likely to pay most attention to.

Nice find!

Shame the crown jewel has been sold off…..but I know Givaudan well and they could also be in the frame for partnerships, for beauty and Myprotein. There is plenty of scope for growth in the health arena for flavour houses, as food manufacturers grapple with delivering healthy products that taste great.

My gut feeling on the Kelso buy, is that if it wasn’t sensitive and he was just playing cat/mouse, then he would have posted something on social media, bragging about it. The lack of posting, suggests to me that there is more to it. All we’ve had is a brief Instagram reel referencing how much he likes an empty gym. I think that was on Saturday…

Dimbleby’s report is outstanding, with its recommendations grounded in evidence. However, it is widely believed that this government will take no action on health during this term. But pressure is mounting and it’s also thought that the next government may take a more proactive instead of reactive stance….

If anyone partners with Myprotein, I feel it will be a company of sufficient scale to take a long term view.

This article pretty suggests that the Squalane IP was at the centre of the Biossance brand and that this brand was the jewel in the Amyris crown:

https://wwd.com/beauty-industry-news/fashion-features/four-amyris-brands-including-biossance-sold-at-auction-1235987641/

If this purchase gives us the IP to their Squalane ingredient technology too, this looks like a smart deal: https://www.jeansandateacup.com/biossance-skincare-review/#:~:text=Biossance%20is%20owned%20by%20the,and%20other%20non%2Dsustainable%20sources.

Looking good on LinkedIn:

“The LOOKFANTASTIC House of Beauty is officially here! This week, we celebrated the opening of our Christmas pop-up in the heart of London with an exclusive launch event for industry guests, press and our VIP influencers.

Open to the public until Sunday 3rd December at 189 Piccadilly, W1J 9ES, customers can enjoy the ultimate festive experience, including beauty and styling stations from ghd, Drunk Elephant, NUXE and Marc Jacobs, personalised engraving, Christmas beauty goodies and complimentary drinks from the LOOKFANTASTIC Cafè.

We can’t wait to see you there!”

Matt definitely knows what he’s doing….so we just need to be patient again..

On LinkedIn, Christmas has arrived at Myprotein and in the photo that shows that the tree is up and decorated, Kong has got a THG gift bag hanging off his arm. Unbelievable 😂

The post says:

“Christmas has hit THG 🎄

Happy December 1st! 🎅

Myprotein Myvitamins Myvegan MP Activewear

#christmas #december”

Monro is another Cheshire based business man.

If it is a defensive play, it would explain why Matt has been quiet….

“Angus Monro, a former director of THG has followed Matthew Moulding and taken a stake in activist investor Kelso.

Yesterday TheBusinessDesk.com reported that Moulding had taken an audacious stake in Kelso, a cash shell founded to maximise value in underperforming quoted businesses.

Monro crossed the 3% investment threshold yesterday, requiring Kelso to issue a notification to the market. He stepped down from the THG board in 2020, having been at Moulding’s side since 2010, but holds no current directorships in any companies.”

https://www.thebusinessdesk.com/northwest/news/2125062-city-round-up-james-halstead-musicmagpie

He’s an ex-NED I think. Shows how deep Mouldings relationships run, including with people in the shadows….

Apologies, Quadrant hold 32.59% with 4 other PE companies with 5-6% (ish).

Both founders have 11.07%.

Quadrant held a lot more, previously 60%, so they may well accept a lower deal now:

https://www.afr.com/companies/retail/adore-beauty-eyes-expansion-as-quadrant-takes-60-pc-stake-20190916-p52rp0

I looked at shareholders yesterday. 2 founders still have just over 11% each and from memory just over 40% is owned by 1 PE company

Thanks OAC

The bid has been rejected:

https://www.businessnewsaustralia.com/articles/adore-beauty-shares-surge-despite-rejecting--122m-bid-from-uk-e-tailer-thg.html

Dean Amery, MD THG Ingenuity on LinkedIn:

“What a team!!! As we continue in the thrill of Cyber Weekend at THG I’m blown away by the energy and commitment seen all around me by my team.  

A team that holds genuine care for our partners & brands, and that are willing to go above and beyond to drive results, quality & trust consistently.

The last few nights have been a prime example of this, where after very early morning starts some of our performance and customer success teams headed over to OMEGA late in the evening to kit, pick, pack & dispatch our products for our FMCG brands… to surprise and delight consumers.

Not one of these individuals asked what was in it for them, they just cared and held full accountability for the business, and their clients. Top work team!”

Does anyone think THG could spin off the Protein and Beauty divisions?

Doing a bit of research this morning, I came across this article from the Grocer, which I’d forgotten about: https://www.thegrocer.co.uk/online/can-thg-ingenuity-fend-off-amazon-and-wpps-new-e-commerce-services/667029.article

The article ends by saying that as others are trying to copy Ingenuity, it may be validation that the idea of spinning off both divisions to fund Ingenuity, seems “savvy”.

I’ve mentioned Britain Ladd before, who frequently posts on LinkedIn about technology etc.

The beginning of a post today caught my eye. The first part says:

“ WHO WANTS TO MAKE A DEAL FOR $250M TO $1B?

The article I've attached from Josipa Majic Predin provides an interesting overview of the different schools of thought related to investing.

I represent a group of investors in the Middle East who are actively looking for "big deals" in logistics in the United States. They're interested in investing between $250M to $1B or more. What makes the investor's strategy interesting is that they want to invest in companies with assets (warehouses, fulfillment centers, sortation centers, trucking terminals, etc.)

Many other investors prefer to invest in asset light companies only or they mistakenly invest in early stage software startups that claim they're modernizing legacy business workflows. Their strategy is provide $1M to $3M checks to the companies.” Etc etc…….

Worth keeping an eye on him if you’re interested in Ingenuity and on LinkedIn.