UK high street confectionery retailer Thorntons is reviewing its options after several seasons of poor trade have depressed the share price. CEO Peter Burdon is believed to have approached a number of City financiers and venture capitalists over the last month in an attempt to raise funds for an MBO.
Thorntons’ share price has plummeted to £0.85 (US$1.21) from £3.00 in 1998, depleting the company’s market value from £200,m to £56m.
An MBO is not the only option open to Thorntons, commented the Sunday Telegraph yesterday. Earlier this year a deal was almost struck with greetings card retailer Birthdays, which would have seen the two businesses merge. Under the terms of that deal, Thorntons’ chocolate production facilities would have been sold to Swiss giant Nestlé. That deal, which would have seen Burdon step down as CEO, broke down before completion, leaving him to reconsider the various options open to the group.
To view related research reports, please follow the links below:-
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Company Profile – free sample
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below formBy GlobalData