Hotel Chocolat to offer chocolate bonds

Hotel Chocolat: offering chocolate bonds to fund growth
Hotel Chocolat: offering chocolate bonds to fund growth

LONDON - Hotel Chocolat, the high street chain, is hoping to raise £5m to fund its expansion plans by selling 'chocolate bonds'.

The novel fund-raising idea by the chocolate maker has been given the green light by the Financial Services Authority, the City watchdog.

The move is similar to the initiative undertaken by The Kings of Shaves Company last year, which issued "shaving bonds" to potential investors to expand the business.

The initiative by Hotel Chocolat will offer investors different investment opportunities. They can subscribe for a three-year, £2,000 bond, which will earn them a box of chocolates valued at £18, every two months.

Alternatively, there is a three-year, £4,000 bond that will pay out a higher-value chocolate box.

The group will market its venture to members of Hotel Chocolat's Tasting Club, who pay for regular home deliveries of its premium chocolates.

Hotel Chocolat is hoping the money raised will help to expand the high street chain from 42 to more than 70 shops, develop a new plantation in St Lucia and expand the business overseas.

 

 

 

 

 

Start Your Free 30-Day Free Trial

Get the very latest news and insight from Campaign with unrestricted access to campaignlive.com, plus get exclusive discounts to Campaign events.

Become a subscriber

GET YOUR CAMPAIGN DAILY FIX

Don’t miss your daily fix of breaking news, latest work, advice and commentary.

register free