Online retail giant THG attempted to appease investor concerns further with an upbeat trading update and plans to hire an independent chairman.
However, the company, previously called The Hut Group, saw its recent slump in shares continue as its value dropped by around 12% early on Tuesday.
The group has seen shareholder sentiment wane in recent months because of concerns about its corporate governance and the value of its platform business, Ingenuity.
Earlier this month, the group held a capital markets day and sought to soothe worries, but it backfired as the company’s value crashed by 35% that afternoon.
On Tuesday, THG confirmed that it has hired recruitment firm Russell Reynolds to find an independent non-executive chairman as part of plans to move the firm to a premium listing on the London Stock Exchange.
It comes after THG said last week that its founder, chief executive and chairman, Matthew Moulding, would relinquish his golden share shareholder structure, which stopped it from being included on London’s FTSE indices.
The ecommerce group also announced that group revenues increased by 38% to £507.8 million in the quarter to September, against the same period last year.
THG also raised revenue growth expectations for its Ingenuity business, as it flagged 131% growth for the platform arm in the latest period.
Mr Moulding said: “We have delivered a strong trading performance in Q3 and enter our peak trading period with confidence.
“I would like to thank all of our employees, given how much they have achieved in the 12 months since IPO (initial public offering).
“Our talented workforce has grown considerably and as well as significantly outperforming the trading guidance provided at IPO, they have been tirelessly expanding the business model across all divisions.
“The appointment of two independent non-executive directors and four special advisers since IPO has been hugely beneficial to the board, and we have real optimism for 2022 with the step up to a premium listing on the main market of the London Stock Exchange, following the appointment of an independent chair.”