Newco Led by Management Team Funded by Gordon Brothers Acquires OnDemand Division
- THG sells its OnDemand division to a Newco led by existing management and funded by Gordon Brothers
- ProBikeKit sold to Frasers Group PLC in Q2 2023
- Combined consideration of £4m for both transactions
- FY 2023 financial impact incorporated into market guidance
- Discontinued revenues non-recurring after Q3 2023
- EBITDA loss of £14.6m for FY 2022 in discontinued categories
- CEO Matthew Moulding praises the continued partnership with both Newco and Frasers Group
THG has sold its OnDemand division to a Newco led by the existing OnDemand management team and funded by Gordon Brothers. The Newco will continue to be a client of Ingenuity, receiving technology, operational, and digital services. Additionally, specialist provider ProBikeKit was sold to Frasers Group PLC in Q2 2023 for £4m. The financial impact for FY 2023 is incorporated into market guidance, with discontinued revenues non-recurring after Q3 2023. Discontinued categories contributed a £14.6m EBITDA loss in FY 2022. CEO Matthew Moulding expressed his confidence in the continued partnership between Newco, Frasers Group, and Ingenuity.
Factuality Level: 10
Factuality Justification: The article provides accurate information about recent transactions involving THG’s OnDemand division and ProBikeKit, includes relevant quotes from the CEO, and incorporates financial data. It is clear, concise, and objective.
Noise Level: 3
Noise Justification: The article provides relevant information about recent business transactions involving THG’s OnDemand division and ProBikeKit, including financial details and the CEO’s perspective on these events.
Financial Relevance: Yes
Financial Markets Impacted: THG’s sale of its OnDemand division to Newco and ProBikeKit to Frasers Group impacts the company’s financial performance and future revenue streams.
Financial Rating Justification: The article discusses the sale of two divisions, which affects THG’s financials and partnerships with other companies like Frasers Group and Ingenuity.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event mentioned in the article
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