Myprotein Protein Pancakes  2100x1400

THG’s MyProtein brand expects double-digit growth in H2

THG has agreed a £103m deal to sell its Claremont Ingredients business to European flavourings manufacturer Nactarome Group.

Marking a significant return on the investment since THG bought the business for £52m in 2020, the dispoal will allow THG to reduce its net leverage, pushing it closer to its goal of reaching a net neutral cash and debt position.

Claremont turned over around £14m in 2024, contributing about £7m in adjusted EBITDA. Following the sale, THG expects a hit to EBITDA of £5m in 2025, increasing to £10m in 2026.

“Claremont has been a huge success, building Myprotein’s global licensing franchise from a standing start to partnering with category leading brands in just a few years,” THG CEO Matthew Moulding said.

“After receiving a highly competitive offer, the timing was right to realise that value. The level of interest we received is a testament to the quality of the business.

“This disposal highlights the significant value embedded across THG’s portfolio. My sincere thanks go to the entire Claremont team for their fantastic contribution and hard work.”

THG also provided an update on its first-half trading performance this morning. While revenues were expected to be in line with the guidance issued at the company’s AGM in late June, the company’s adjusted EBITDA will come in at around £24m, down from £37m in the previous year.

The fall in profitability is down largely to “substantially higher” year-on-year whey pricing in the group’s nutrition business, with prices remaining at record highs over the past year.

Following a successful refinancing to reduce gross debt in Q1 2025, the firm has cash and available facilities of around £278m, and has cut net debt to £330m – from £350m in H1 2024 – before any net proceeds of the Claremont sale are counted.

THG has said it will target customer growth in 2025 by limiting price increases in H2.