Register to get free articles
Want unlimited access? View Plans
Already have an account? Sign in
THG has announced that it has terminated takeover talks with Apollo Global Management as it believes Apollo has undervalued the business.
The company which owns brands like Myprotein stated that there was “no longer any merit” in continuing talks with Apollo.
Shares in the company increased by 40% following the announcement that THG was in “highly preliminary” talks with Apollo over a takeover.
The company stated: “Consideration and rejection of the indicative proposal has been on a basis consistent with all previous offers for the company, some a matter of public record, which were also rejected based upon inadequate valuations and the nature of those offer structures.
“Having discussed with its financial and legal advisors, the board has unanimously determined that it is not in the best interest of THG shareholders to seek an extension to the deadline set out in the company’s announcement dated 17 April 2023, as permitted by Rule 2.6(c) of the Code, and, consequently, it has terminated all discussions with Apollo.”
THG confirmed that the profitability and cash flow improvements delivered in Q1 of FY 2023, have continued in Q2, supporting the board’s full year guidance.
