Beauty firm backs away from London shares float

AN ONLINE beauty retailer has pulled back from pushing the button on a London flotation.

City sources say the odds on a float of Beauty Bay, founded by Arron and David Gabbie, are lengthening. The retailer sources sought-after brands, such as Anastasia Beverly Hills and CTZN, and works with influencers such as YouTuber Saffron Barker.

The brothers had enlisted bankers at GCA Altium to assess their options and later discussed possibilities, including a float, with bankers at Investec. But City sources said talks with Investec have ended.

Several consumer-facing firms have recently ditched plans for floats, including steak chain Hawksmoor and budget gyms group PureGym.

The travails at Matt Moulding’s Hut Group, owner of the Lookfantastic brand, have shaken confidence in online retailers.

Beauty Bay said it was debt-free and growing ‘rapidly’, adding: ‘An IPO is one of a number of options.’ Investec declined to comment.

EXPECT the next act in the unfolding drama at GlaxoSmithKline this week. With the board under attack from activists Elliott and Bluebell, chief executive Emma Walmsley will unveil its third-quarter trading.

She is expected to give an update on progress in demerging its pharma and vaccines business from its consumer arm.

Analysts will be keen to assess the performance of its Shingrix shingles vaccine, stymied by the global Covid vaccine rollout.

But turnover of £8.7billion is expected, up from £8.1billion the previous quarter. Perhaps enough to keep friendly investors on side for now?