Private equity groups Balderton Capital and West Coast Capital sold nearly £240 million of shares in ecommerce star The Hut Group today amid huge demand for the company’s shares since last year’s blockbuster float.
London-based Balderton sold 27 million shares for £205.2 million and West Coast Capital Assets sold 4 million for £30.4 million in a secondary issue of shares, the company said today.
Other shareholders who were big backers prior to the IPO also sold, taking the total of shares changing hands up to £250 million.
The sales were made due to exceptional demand from the market. Institutional investors had been keen to get access to more stock, so the big pre-IPO investors agreed to sell more.
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In a statement outlining the sale plan last night, IHG said it was hoping its shareholders would sell around £200 million of stock, but the issue was seven times oversubscribed, so they sold an extra £50 million.
All were priced at 760p a share.
Balderton has made outstanding returns on its investments in the health and beauty retailer, which also runs web operations for third party retailers.
The sale marked a temporary lifting of Balderton and West Coast’s 360 day “lockup period”, during which they are banned from selling stock.
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