Silverwood Brands buy share of Poole headquartered Lush for £216.8m

By Stephen Emerson

12 December 2022

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A stake has been acquired in Lush Cosmetics

Silverwood Brands has acquired a 19.8 per cent stake in Lush Cosmetics.

The total consideration for the acquisition amounts to approximately £ 216,802,000 to be satisfied via the issue and allotment of 228,212,632 new ordinary shares to Lush co-founder Andrew Gerrie and his wife Alison Hawksley at the price of 95p per share.

Lush is a manufacturer and seller of handmade skincare goods and cosmetic products and operates retail outlets in 48 countries with manufacturing facilities in six nations.

According to published annual accounts of Lush filed at Companies House, in the year ended 30 June 2021, Lush's turnover was £408 million.

Paul Hodgins, Non-Executive Director of Silverwood, said: "Silverwood is a rapidly growing business, with a team of highly experienced independent directors, and we are entrepreneurs ourselves. We have great respect for the strong values and track records of both these highly entrepreneurial companies. We look forward to engaging their management to provide support and to add value where we can, and in doing so also provide strong value to our own rapidly growing shareholder group."

Application has been made for the Consideration Shares to trade on the AQSE Growth Market which is expected to be on or around December 15, 2022.

In September 2021, Lush acquired its North American partner businesses for CAD$180 million (£143 million), plus CAD$20 million deferred consideration. This acquisition should add significantly to Lush's revenue in the coming years given the size of the opportunity of the US market.

By Stephen Emerson

Stephen Emerson is the Managing Editor of The Business Magazine and is responsible for the publication's print publications and online properties including the newly launched Biz News websites in Hampshire and Dorset.

Stephen has been a journalist for 20 years and has worked at local, regional and national publications and led a team which made The Scotsman website one of the fastest growing news sites in the UK with over eight million monthly users.

He has a keen interest in technology, property and corporate finance and telling the stories of the people behind the successful firms in these sectors.