Through a GBP 216.8 million deal, Silverwood has acquired a 19.8 percent stake in Lush Cosmetics, further expanding its consumer business.
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Silverwood has entered into a sale and purchase agreement to acquire Lush’s shares. It is estimated that the value of the acquisition of the Lush shares will be approximately GBP 216.8 million, whoseconsideration will be satisfied by issuing and allotting 228.212 million new ordinary shares at 95p per share, which represents the closing price of Silverwood shares the day before this announcement.
Using its investment in Lush as a platform, Silverwood plans to expand into health and beauty, specialty foods, and other consumer-centric brand sectors.
Silverwood’s brand portfolio, which includes Balmonds and Nailberry, will be strengthened with this acquisition.
It intends to retain its stake in Lush for the long term, allowing Lush’s customers to invest in the British brand.
Silverwood’s Non-Executive Director Paul Hodgins commented: “Lush is a British success story with a strong global presence. The company expects to achieve strong growth targets in the future and is very enthusiastic about the global prospects.
Silverwood will be able to expand its portfolio of fast-growing consumer brands on the strength of this acquisition. As entrepreneurs ourselves with significant expertise in building leading brands, we bring long-term, highly-engaged and supportive British growth capital to our portfolio while creating value for our own rapidly growing shareholder base.”