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Highlights

  • HUD enters logistics partnership with THG Ingenuity to support Q4FY25 operations
  • Huddled Group receives GBP 1.5 million equity funding proposal from Shard Capital Partners
  • HUD reports 31% order growth at Boop Beauty from Q1FY25 to Q2FY25

Huddled Group plc (LSE: HUD) is a circular economy e-commerce company operating three consumer-facing brands. The company focuses on acquiring and reselling surplus or discontinued stock through its online platforms. Its model integrates sustainability with e-commerce by addressing surplus inventory while delivering value to customers.

The company has announced a new logistics partnership with THG Ingenuity and a proposed equity investment of GBP 1.5 million from Shard Capital Partners LLP. These developments come on the back of order and revenue growth across all three of its brands during the second quarter of FY25.

The collaboration with THG Ingenuity, a provider of fulfilment and e-commerce solutions, is expected to streamline operations ahead of Q4FY25. Huddled plans to migrate stock and operations to THG Fulfil’s high-capacity, automated facilities by the end of Q3FY25. These facilities are capable of processing over two million units per day and offer same-day delivery on orders placed as late as 1am.

This operational shift is aimed at enhancing efficiency in order handling and customer delivery while maintaining existing expenditure levels on warehousing, postage, and fulfilment. According to the company, the new arrangement will allow for better stock management and improved marketing conversion without significant changes to fulfilment costs.

As part of the broader collaboration, Huddled will also gain access to THG Studios' AI-integrated live commerce capabilities. This is intended to expand Huddled’s live sales initiatives and offer a more dynamic product presentation to consumers.

Simultaneously, Huddled announced it has received a funding proposal from Shard Capital Partners LLP for a GBP 1.5 million investment at a price of 3.2 pence per share the company’s closing price on 3 July 2025. Of this total, GBP 1.0 million will come from a single institutional investor, with the remaining GBP 0.5 million provided by Shard Capital itself.

To meet this proposal, the company will issue 46,875,000 new ordinary shares, using shareholder authorities granted at the recent AGM to immediately issue 34,468,625 shares, representing about GBP 1.1 million. The remaining 12,406,375 shares, valued at approximately GBP 0.4 million, will be subject to shareholder approval at a forthcoming general meeting. Details about the meeting will be circulated shortly, including the timeline and voting procedures.

The additional capital will be directed toward executing a pipeline of commercial opportunities and providing working capital for the company’s near-term growth initiatives. Huddled acknowledged that while it previously anticipated no need for external funding to achieve operational profitability, the combined timing of the THG deal and Shard’s investment offer created an opportunity to accelerate key developments.

Huddled reported that Q2FY25 continued the trend of growth in both order numbers and revenue, with its Boop Beauty brand recording a 31% increase in order volume compared to Q1FY25. The company views the outsourcing of logistics as a chance to refocus on stock acquisition, marketing efforts, and scaling demand.

In governance updates, Michael Ashley was recently appointed as Group CEO, signaling internal changes aligned with the company’s expansion goals.

Regarding share activity, application has been submitted for the new shares to be admitted to trading on AIM, with admission expected on or around 11 July 2025. Following this, Huddled’s enlarged share capital will total 379,154,899 ordinary shares. Martin Higginson, Executive Chairman, will hold 14.69% of total voting rights, while the concert party, a group of shareholders considered to be acting in coordination, will control 47.92%.

As of 4 July 2025, HUD shares were up 15.31%, trading at GBX 3.69 per share.