Struggling Wellington boot-maker Hunter gets a £16.5m leg-up from its investors
Welly wearer: Kate Moss at Glastonbury
The struggling company behind Hunter Wellington boots has raised a £16.5million cash injection from a Goldman Sachs fund to see it through the crisis.
The official bootmaker to the Queen turned to shareholders, including Goldman-backed fund Pall Mall Legacy, which will now take majority control, to raise the cash. Searchlight and Pentland Group have contributed and will remain minority shareholders, and retain seats on the board.
Its bank, Wells Fargo, will increase its loan headroom for three years, giving an extra £18.5million to support growth. The brand counts Kate Moss, Gwyneth Paltrow and Kate Bosworth as fans and is as popular with countryside gentry as with festival-goers at Glastonbury.
Two years ago it reported profits of £6million on record sales of £113million as it pushed to extend its appeal.
But a dry winter led to poor sales in the US, ahead of the outbreak of Covid-19.
Sales have fallen sharply due to shops being closed but online sales have thrived.
Chairman Gordon McCallum said: ‘This will ensure we are able to withstand the downturn and emerge even stronger.’