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LONDON - THG PLC has agreed to sell its Claremont Ingredients business to Nactarome Group for approximately £103 million in cash, the company announced Wednesday in a press release.
The sale represents a significant return on THG’s original £52 million investment when it acquired the flavor manufacturing business in late 2020. Nactarome Group, majority owned by TA Associates, emerged as the buyer following what the company described as a "highly competitive process."
Claremont, a UK-based flavor manufacturer specializing in sports nutrition, bakery and beverages, generated approximately £14 million in revenue and £7 million in adjusted EBITDA for fiscal year 2024. THG indicated it will maintain its relationship with Claremont through a long-term supply contract.
The company stated that proceeds from the sale will contribute to reducing net leverage and borrowing costs, aligning with THG’s capital allocation strategy that targets a neutral net cash/debt position. The disposal is expected to reduce THG’s EBITDA by approximately £5 million in FY 2025 and £10 million in FY 2026.
In its trading update, THG reported H1 2025 adjusted EBITDA of approximately £24 million, down from £37.1 million in H1 2024, which the company attributed primarily to higher whey pricing in its Nutrition segment. The company reported net debt of approximately £330 million, which would reduce to around £230 million after the Claremont sale proceeds.
For the second half of 2025, THG Nutrition expects revenue growth between 10% and 12%. The company announced plans to limit price increases in its Myprotein brand to prioritize market share gains, with a goal of expanding its retail presence from 34,000 to 100,000 locations. This strategy will involve approximately £15 million in investment during 2025.
Matthew Moulding, CEO of THG, called Claremont "a huge success" and said "the timing was right to realise that value."
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