THG’s Matthew Moulding is focusing on the future as the ecommerce group prepares to transition to the FTSE 250 Index.
This move is part of the FTSE Russell quarterly review and is likely to be confirmed at the end of the month.
“Our anticipated inclusion in the FTSE 250 marks an important moment in THG’s evolution following the demerger of THG Ingenuity,” said CEO, Moulding.
“As a global beauty, health and wellness consumer brands group, we continue to make significant progress against our strategic priorities.”
However, a quick look at the share price this morning shows that THG is still trading at record lows. While it’s increased slightly from the 32.68p at the start of the week, it’s still only 35.31p.
That’s despite analysts from Jeffries, one of the world’s leading investment banking and capital markets firms, giving THG shares a “buy” rating. In a report, they stated that the restructure of the North West ecommerce group and the demerger of the Ingenuity division gave them “confidence” in its financial prospects.
They set a price target of 75p per share.
To put that in context, when THG started trading on the stock exchange in 2020, it was the biggest debut since the Royal Mail in 2013. The company was valued at £5.4bn, with the offer price rocketing from the 500p, to 630p by the end of the day.
In January THG released its first trading figures since the demerger, saying that the company had become “global, cash generative, health & wellness consumer brands group.” In total its revenue for the year, including Ingenuity was £1,879.6m
