Hotel Chocolat has promoted its UK managing director Lysa Hardy to become its new chief executive in yet another sign of change after a takeover by Mars.
Hardy, who was a non-executive at Superdry until July this year, will take over from co-founder and current chief executive, Angus Thirwell, according to a LinkedIn update.
Last November, Hotel Chocolat was one in a long line of British companies to delist from the London market after the confectionery giant bought it for £534m at a premium of 170 per cent of its share price.
Mars, which employs more than 10,000 staff in the UK, is one of the world’s biggest food companies and the US’s fourth-largest private firm, with brands ranging from Snickers confectionery to Pedigree dog food and Dolmio pasta sauces.
It has already ramped up store expansion efforts at the chocolatier to include 25 stores over the next 18 months, and last month opened Hotel Chocolat’s first bakery and hot food offer.
Thre are also plans to upsize in existing locations such as Nottingham and Chichester, West Sussex, as well as £10m in investment to expand its manufacturing plant in Royston, Hertfordshire. The combined investments will result in 250 new jobs.
Hotel Chocolat betting on a cocoa boost
Hotel Chocolat has been struggling with the twin ailments of weak consumer demand for premium products and rising cocoa prices, but Mars’ commitment to the company suggests they believe these problems are temporary.
After a steady rise over two years, the price of cocoa beans took off to record highs early this year.
A severe supply crunch – production is expected to fall short of demand in 2024 by 374,000 tons – has driven the price up, with the world on track for a third year of deficits.
However, co-founder Angus Thirwell told The Times in July that price of cocoa has “come down quite a bit and it’s expected to keep doing that”.
Consumer demand, too, is expected to keep picking up this year as the economy recovers and the cost-of-living crisis eases.