THG Walks Away From Takeover Talks With Apollo: The London Rush

With THG’s shares currently trading more than a sixth below its IPO price, it is perhaps clear to see why price might be at the forefront of the retailer’s mind. Yet, it appears no deal has come to fruition: after a short period of talks with a new possible bidder, the company decided to walk away, saying it wasn’t in the best interests of shareholders and bemoaning a series of previous offers it has rejected as “inadequate valuations”. It ends the latest opportunity for founder Matt Moulding, w

(Bloomberg) — With THG’s shares currently trading more than a sixth below its IPO price, it is perhaps clear to see why price might be at the forefront of the retailer’s mind. Yet, it appears no deal has come to fruition: after a short period of talks with a new possible bidder, the company decided to walk away, saying it wasn’t in the best interests of shareholders and bemoaning a series of previous offers it has rejected as “inadequate valuations”. It ends the latest opportunity for founder Matt Moulding, who has previously indicated he regrets listing in London, to take the company private again.Here’s the key business news from London this morning:

In The City

UK GDP: The UK economy eked out a small gain in the first quarter even though strikes sharply curtailed activity in March, further reducing the risk of a recession.

Gross domestic product rose 0.1% from the fourth quarter, the Office for National Statistics said

THG Plc: Online retailer of make-up and protein powers has ended all takeover talks with Apollo Global Management Inc, saying they were no longer in the best interests of shareholders.

THG said the board remains “fully confident” in its strategic direction and long-term prospects as an independent company

Beazley Plc: The specialist insurance company said “excellent and continuing” market conditions helped grow its property operations in the first quarter.

The company said it reduced exposure in Specialty Risks, which has been impacted by a lack of IPO and M&A activity, which are drivers of demand for products in that division

GSK Plc: The pharmaceutical firm sold about £800 million worth of shares in Haleon Plc, the consumer health-care division it spun off as a separate company last year. GSK now holds 10.3% in the business.

The move comes just a few days after Pfizer Inc., which holds about 32% of Haleon, said it’s also preparing to sell down its stake in the next months

AngloGold Ashanti Ltd: The South African miner said it will become a UK-based company and move its primary listing to the New York Stock Exchange after selling its last remaining South African assets in 2020.

In Westminster

Members of Parliament are launching an inquiry into the influence of supermarkets and manufacturers on food prices as Britons struggle with an enduring cost-of-living crisis.

The Bank of England had “no practical alternative” but to raise interest rates by 25 basis points to 4.5% yesterday, writes Bloomberg Opinion columnist Mohamed El-Erian. The central bank is doing its part to fight inflation — now the government “needs to pitch in,” he added.

Commuters, meanwhile, face the latest walkout by train drivers represented by the Aslef union on Friday, with city centres expected to be quieter than usual as more office staff choose to work from home. On Saturday, another labor group — the RMT — will hold a strike, in a move that could disrupt the final of the Eurovision Song Contest in Liverpool.