Huddled acquires stock clearance retailer Boop Beauty
Huddled Group
3.25p
16:50 04/10/24
E-commerce specialist Huddled Group announced the acquisition of a 75% controlling stake in Boop Beauty on Monday.
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The AIM-traded company described Boop Beauty as an online retailer specialising in surplus beauty and cosmetic products.
It said the acquisition, valued at the equivalent of Boop's existing stock, also included a commitment from Huddled to inject further capital to fuel the company’s growth.
Boop Beauty, founded by former L'Oreal in-house lawyer Yasmine Amr, operates as a direct-to-consumer retailer that collaborates with beauty brands to responsibly sell remnant, surplus, and discontinued products.
Huddled said Boop had established itself as a trusted partner for notable brands such as Aromatherapy Associates, Foreo, and Legology.
Despite limited initial capital, Boop successfully processed 558 orders in the second quarter of 2024, with an average order value of £39.
Amr would continue her involvement with Boop Beauty as both a shareholder and non-executive director.
The acquisition aligned with Huddled Group's strategy to expand its portfolio of e-commerce brands that manage surplus stock.
Boop Beauty would join other Huddled brands, Discount Dragon and Nutricircle, in addressing surplus stock issues while offering attractive options for cost-conscious consumers.
During the integration phase, Boop Beauty’s online store had been temporarily taken offline, with a relaunch expected in early September.
In the meantime, customers would still be able to access information and register on the website.
The investment would provide Boop Beauty with additional working capital to expand its range of stock and increase customer acquisition efforts.
“We are thrilled to be working with Yasmine - the Boop business concept is fantastic and sits perfectly with the Huddled circular economy strategy,” said chief executive officer Martin Higginson.
“It was clear that Huddled could provide Boop with some key ingredients- more stock, marketing and fulfilment - to drive growth.
“I'm confident with the resources and support of the Huddled Group, Boop can flourish, and become a trusted and ethical partner for beauty and cosmetic companies in solving their excess stock challenges.”
At 0952 BST, shares in Huddled Group were up 1.05% at 2.88p.
Reporting by Josh White for Sharecast.com.