THG Molding founder waives share pledge under loan facility

LONDON, Oct.20 (Reuters) – Online beauty retailer and tech group THG (THG.L) has received a notification from founder Matthew Molding and his wife Jodie telling them that they are relinquishing a pledge of certain of their shares in the company as security for a loan facility.

As of October 19, no shares legally or beneficially owned by Moulures are subject to any pledge or pledge of shares, the company said in a press release.

THG’s complex structure has come under scrutiny and is one of the factors that led to a 52% drop in its share price over the past month.

One of those complications was that Molding and his wife Jodie had set up their stakes in the business as collateral for a loan of 100 million pounds ($ 137.87 million) at the time of the IPO. of the multibillion pound business last year.

The loan was made by Barclays to Molding’s investment vehicle, FIC Shareco, and could have seen Barclays – or any third party to which the loan was sold – take an 18.8% stake in the company in the event of default and execution.

The company said Moldings and FIC Shareco have confirmed that there will be no divestment or other transactions of THG shares as part of the release of this commitment.

Earlier this week, the online retailer and tech group backed by SoftBank also said it would forgo Molding’s “golden share” which gave it enhanced voting rights and seek a premium listing that would give it access to the FTSE indices. . Read more

($ 1 = 0.7253 pounds)

Reporting by Abhinav Ramnarayan; edited by Jason Neely and Stephen Coates

Our Standards: Thomson Reuters Trust Principles.

About Nunnally Maurice

Check Also

Removal of Facebook’s ‘live shopping’ feature upsets online live sellers in Cagayan de Oro – Reuters

CAGAYAN DE ORO CITY – An announcement on Facebook that it will remove the “live …

Leave a Reply

Your email address will not be published.