Hunter Boots, a well-loved brand favored by celebrities, has successfully negotiated a rescue package to navigate through a downturn in sales caused by the COVID-19 pandemic. This recent development sees the company receiving a significant cash injection of £16.5 million from existing shareholder Pall Mall Legacy, alongside support from Searchlight Capital, Pentland, and a number of other minor stakeholders. Additionally, Hunter has extended its financing arrangements with Wells Fargo for an additional three years, resulting in a total increase of £18.5 million in capital to drive the brand’s future growth.
Even in the face of adversity brought on by the pandemic-related cancellations of major events, Hunter remains hopeful about its outlook with the newfound financial backing. Prior to the pandemic, the company had been experiencing positive financial momentum, including an operating profit of £7 million and record-breaking sales of £113.8 million. Founded in 1856, Hunter has built a strong reputation on its iconic Original boots and has expanded into diverse product lines, with a robust e-commerce platform that contributes to about 30% of its global sales.
The recent financial restructuring is designed to enhance Hunter’s financial resilience in the face of ongoing economic uncertainties resulting from the pandemic. With Pall Mall Legacy, a Goldman Sachs-backed investment firm, now holding a majority stake in the company, the brand is poised to receive strategic guidance from its new majority shareholder. Searchlight Capital and Pentland Group also maintain significant stakes in Hunter, underscoring their faith in the brand’s potential for future growth.
Gordon McCallum, the chairman of Hunter, remains upbeat about the brand’s international footprint and its appeal to fashion-forward consumers worldwide. Emphasizing quality and innovation, Hunter Boots continues to captivate a global audience spanning the UK, Europe, Japan, and the US. The infusion of capital from Pall Mall Legacy reflects a strong vote of confidence in Hunter’s trajectory and sets the stage for exciting growth opportunities in the time ahead.
For more information on Hunter Boots and their latest developments, visit their official website here. To learn more about the financial restructuring and the brands involved in the rescue deal, check out this detailed article here.
