It was reported that shares in online health and beauty retailer, The Hut Group soared by nearly a third on the company’s debut, making it London’s biggest stock market debut since 2013.
Founded in 2004, shares in the Manchester-based firm changed hands for as much as 658p, 32% above the 500p IPO price, before easing back to 625p, valuing the business at £5.6 billion.
The result puts founder Matthew Moulding more than halfway to hitting a target that would give him shares worth £700 million. Moulding is both chairman and CEO of the company.
Meanwhile, investors in the company were typically unconcerned by the health and beauty retailer’s unusual corporate governance structures, with Phil Drury of Citigroup stating that the deal had received “multiple levels of oversubscription”.
Given the current impact of the stock market due to the Coronavirus pandemic and the looming Brexit taking place, this is significantly development and great to see a British tech company making its debut on the London Stock Exchange.