Thakral to receive S$13.1 million from sale of shares in UK beauty company, ahead of London IPO

Thakral’s remaining TBTG shares will be worth £18.1 million (S$31.5 million) immediately upon listing

Singapore-listed Thakral Corp will receive S$13.1 million from a partial sale of its shares in The Beauty Tech Group (TBTG), its UK-based investee company that will list on the London Stock Exchange on Wednesday (Oct 8).

The proceeds – from the divestment of 2.9 million TBTG shares – will strengthen Thakral’s financial position and “enhance its liquidity”, the group said in a bourse filing on Monday.

Thakral plans to redeploy the capital into opportunities “that enhance earnings and long-term growth, whether in the form of equity investments or otherwise”.

The company previously expected to receive up to £8.1 million(S$14 million) from the partial divestment of its shares in TBTG, of which it owns 9.55 per cent.

Thakral will continue to hold 6.04 per cent of TBTG post-listing, in line with a share lock-up arrangement. Based on the initial public offering (IPO) price of £2.71 per share, Thakral’s remaining TBTG shares will be worth £18.1 million (S$31.5 million) immediately upon listing.

Post-IPO, Thakral’s net asset value is expected to increase by 10 per cent per share to S$2.34, compared to the position as at Jun 30. Its earnings per share will increase by 26 per cent to S$1.08.

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Thakral initially partnered TBTG through a joint venture for sales in China, and in mid-2023, exchanged this investment for a direct stake in the parent entity, noted Thakral’s chief executive Inderbethal Singh Thakral.

“TBTG has progressed significantly, building a strong international brand and a scalable, tech-driven platform. This listing underscores the strength of its business model, the calibre of its management team and the opportunities ahead,” he said.

Thakral shares ended Monday at S$1.61, down 0.6 per cent.