THG, the parent company of Cult Beauty and Look Fantastic, is in advanced talks to purchase London-based business newspaper City AM, according to a report by Sky News. The deal, which could be announced as soon as Wednesday afternoon, is expected to involve THG paying a “small seven-figure sum” for City AM’s assets, including its brand and website. The group has also agreed to meet July’s payroll obligations for the 40 members of staff.

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The acquisition would provide THG with several commercial opportunities for its Ingenuity clients, such as Coca-Cola, Kraft Heinz and Nestle, by giving them greater access to City AM’s financially literate readership. THG is also planning an overhaul of City AM’s technology interface and looking to launch an app for the paper, which goes to print four days a week.

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The news comes as a surprise after THG chief executive and founder Matthew Moulding called out the media earlier this year in a lengthy social media rant. In a video shared on LinkedIn, Moulding featured negative newspaper headlines about his company alongside stats about THG’s growth and expansion, arguing that it had “sadly become standard practice” for the media to “regularly build negative coverage”.
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The deal is expected to be completed soon, with THG stressing that City AM will operate with editorial independence. Sources close to the deal have said that the acquisition will support the growth of THG experiences, which operates LookFantastic Beauty awards and Ingenuity’s Future of Commerce event.


Sources: https://www.retailgazette.co.uk/blog/2023/07/thg-city-am/