Parent company of Hotter Shoes, Electra Private Equity, is to expand the mature market footwear business and take it into clothing, wellness and lifestyle products. The intention is also to rename the company to Unbound Group effective on the company’s admission to AIM, planned for 31 January 2022. The business will be positioned as an online multi-brand retail platform supporting the lifestyles of the 55+ demographic.
Hotter which has repositioned from being primarily store based to a mostly digital retailer over the past year achieved revenue of £25m for the six months to the end of July 2021, generating an EBITDA of £2.5 million. Its FY revenue to the end of October 2021 reached £50.4 million.
Hotter CEO Ian Watson will become CEO of Unbound Group PLC and lead its expansion. This will see Unbound working with complementary third-party brands which have appeal for the Hotter customer, leveraging its digital platform and 4.6 million strong customer database. It is understood to be looking to derive more than half of its revenues from non-Hotter products within 12-24 months.
Ian Watson commented: “The creation of Unbound, and its admission to AIM, will be a significant milestone and we are excited about the opportunities ahead. We continue to gather excellent momentum with our new Unbound partnership strategy, and we are in early discussions with a number of potential partners.”
He added: “With our unique focus on our 55 plus customer base, underpinned by the strength of the Hotter brand and cultural and demographic tailwinds, we believe there is a significant growth opportunity for Unbound, and we look forward to creating long-term value for our existing and new shareholders.”
Share