£4.5bn float puts The Hut Group founder in line for £700m share windfall

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The Manchester-based technology company will this week signal its plan to float in London, Sky News learns.

It owns cosmetics brands such as Christophe Robin, ESPA and Eyeko, and sells third-party branded products such as those made by Glossybox and LookFantastic.

Institutions have been briefed on the incentive plans that could hand Mr Moulding the massive share windfall, and are broadly said to be comfortable with the proposals. Under the incentive scheme, Mr Moulding's stake would not rise above 25%, meaning that after being diluted in the IPO, the maximum he is likely to be awarded would be approximately 10% of the company - which at a £7.25bn market value would be worth £725m.That would be in addition to an existing shareholding worth more than £1bn, propelling the entrepreneur firmly into the upper ranks of Britain's super-rich.

Nevertheless, allies of Mr Moulding point to the thousands of jobs created, and millions of pounds in taxes paid, by The Hut Group since it was set up. The Hut Group is understood to have opted to list in London despite protracted overtures from international exchanges, including New York's Nasdaq, which successfully lured the British-based online fashion business Farfetch last year.

 

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Companies float on stock exchange daily so stop spreading crap.

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