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The Markets
by Proactive
Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
Go to Proactive UK
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Retail & consumer

THG raises £95m as it looks to take its Ingenuity e-commerce platform private

THG PLC (LSE:THG) is trumpeting an upsized fundraiser that has brought in £95.4 million, or just over £20 million more than it was asking for.

The cash will be used to spin off and take private the Ingenuity e-commerce platform. Or, looked at another way, shareholders are paying to complete the demerger.

Remember, Ingenuity was once notionally worth £4.8 billion as part of a complex deal dreamt up by SoftBank, the tech fund, that very few people understood or believed.

The cash call will see founder Matt Moulding kick in £10 million, while Mike Ashley's Frasers Group is ponying up the same amount.

In all, THG is issuing the equivalent of just under 15% of the company to bring in the new funds.

The striking thing is the discount or lack of one with the book-runners only having to lop 5% off the value of the shares to tempt buyers out of their hidey holes.

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