THG completes debt refinancing for next five years
THG has completed a debt refinancing to extend its loan agreements for the next five years.
The Manchester headquartered cosmetics and nutrition ecommerce retailer has amended and extended a €445m term loan to December 2029 and partially repaid other loans of €155m and £74m through a combination of cash on its balance sheet and an equity contribution.
THG’s debts are now reduced from 3.2x to 2.2x of their expected EBITDA profits of £92m.
In a statement to the stock market this morning (4 April 2025) the company said: “THG is a fundamentally cash generative business and the refinancing underlines the company’s target to progress towards a neutral net cash / net debt position.”
J.P. Morgan and Barclays acted as Mandated Lead Arrangers and Physical Bookrunners on the debt refinancing, with HSBC Bank plc, NatWest Markets PLC and BNP Paribas S.A. as Joint Bookrunners. Clifford Chance LLP acted on behalf of the Company, with Latham & Watkins (London) LLP acting for the lenders.
The next results are expected on the 30th of April 2025, the first since the demerger from technology engine Ingenuity.
THG now consists of two consumer businesses: THG Beauty which owns the Lookfantastic, Dermstore and Cult Beauty brands; and THG Nutrition, led by Myprotein, an online sports nutrition brand.
