Matt Moulding Buys Remaining Shares in UK Ecommerce Firm
- SoftBank offloads its entire stake in UK ecommerce company THG
- Matt Moulding buys remaining 12.8m shares
- Softbank suffered a £450m loss after buying an 8% stake in May 2021 for £481m
- Qatar’s sovereign wealth fund to buy 67.8m shares
- Stake sale takes place on Thursday at 39p price
- THG shares depreciated over 92% since SoftBank investment
Tokyo-based SoftBank Group has sold its entire stake in the UK ecommerce company THG after its co-founder and CEO, Matt Moulding, agreed to purchase the remaining 12.8m shares. This move comes after SoftBank decided to liquidate its internal hedge fund following their acquisition of an 8% stake in THG for approximately £481m in May 2021. As a result, SoftBank has reportedly lost £450m. However, THG will receive £31m from the sale as Qatar’s sovereign wealth fund buys 67.8m shares. Since SoftBank invested in the company, THG shares have depreciated by over 92% due to slowing sales and contracting margins. Moulding expressed gratitude for SoftBank’s support and noted that they will continue to benefit from their international technology connections.
Factuality Level: 8
Factuality Justification: The article provides accurate information about Softbank Group’s decision to offload its stake in THG, the amount of loss suffered by Softbank, and the sale details. It also mentions the reason behind the sale (slowing sales and contracting margins at THG) and the relationship between both companies.
Noise Level: 3
Noise Justification: The article provides relevant information about Softbank Group’s decision to offload its stake in THG and the consequences of this decision for both companies, as well as a statement from THG’s CEO expressing gratitude for SoftBank’s support. However, it could benefit from more analysis or context on the reasons behind SoftBank’s decision and potential future implications.
Financial Relevance: Yes
Financial Markets Impacted: Softbank Group, THG, Qatar’s sovereign wealth fund
Financial Rating Justification: The article discusses Softbank Group offloading its stake in THG and the impact on the company’s financial performance, as well as the sale of shares to Qatar’s sovereign wealth fund. This involves financial topics such as investments, losses, and stock market transactions.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the article.
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