Boohoo Group’s CEO, John Lyttle, steps down as the company secures a £222m debt financing agreement.
- The new debt financing arrangement comprises a £125m revolving credit facility and a £97m term loan.
- Boohoo experienced a 15% drop in revenue and a decline in EBITDA margin in H1 25.
- Despite recent financial performance, the company anticipates improvement in the second half of FY25.
- Executive Chairman Mahmud Kamani stated the company’s focus on adjusting corporate structure to maximise shareholder value.
John Lyttle, the CEO of Boohoo Group, has decided to step down from his position. Despite his departure, he will continue collaborating with the leadership team and board until a successor is appointed. Lyttle expressed his pride in leading the group over the past five years, acknowledging the company’s potential and committing to aiding the board in enhancing shareholder value during this transition.
The company, which owns well-known brands such as Boohoo, PrettyLittleThing, and Nasty Gal, reached an agreement for a substantial debt facility with a consortium of its existing banks. This includes a £125 million revolving credit facility set to last until October 2026 and a £97 million term loan due by August 2025. The refinancing process was advised by Ashurst and Rothschild & Co, reflecting the continued support and confidence from their banking partners.
In the first half of 2025, Boohoo’s revenue fell by 15% compared to the previous year, landing at £620 million. The adjusted EBITDA margin also decreased from 4.3% to 3.4%, accompanied by a 7% decline in Gross Merchandise Value (GMV) to £1.177 billion. Despite these setbacks, the company is optimistic about a stronger financial performance in the second half of the fiscal year, expecting increased GMV and EBITDA, even as it invests further into its brands to unlock value for shareholders.
Mahmud Kamani, the Group’s Executive Chairman, highlighted the board’s dedication to taking appropriate measures for the benefit of all stakeholders. The newly acquired lending facility underscores the confidence of Boohoo’s banks in its strategic direction. Kamani also noted the business’s evolution beyond its initial focus on young fashion, indicating the ongoing evaluation of its corporate structure to maximise shareholder returns.
Boohoo Group navigates leadership changes and financial restructuring with a focus on future growth and shareholder value.
