Hotel Chocolat Co-Founders Receive £288 Million Windfall from Mars Sale

Hotel Chocolat's co-founders, Angus Thirlwell and Peter Harris, are set to receive £144 million each upon selling their chocolate business to American confectionery heavyweight Mars for a total of £534 million.

Established in 1993, Hotel Chocolat has faced hurdles in international expansion, including the closure of its U.S. stores last year. Despite these challenges, Thirlwell, who will remain CEO, believes that the acquisition by Mars will spur growth and overcome previous operational difficulties.

Thirlwell plans to reinvest a significant portion of his earnings back into the business, while the retiring Harris also intends to retain some investment under the new ownership.

Hotel Chocolat has been known for its online sales and luxury treats since its first physical store opened in North London in 2004. Mars, which plans to maintain Hotel Chocolat's recipe integrity and entrepreneurial spirit, will not mix its products with the acquired brand.

Internationally, Hotel Chocolat's efforts include a costly but ultimately unsuccessful American venture and a recent joint venture in Japan with Eat Creator Corporation. Past obstacles included a failed partnership and a £22m loss, but the company still holds a 20% stake in the Japanese venture where it will gain royalties.

Beyond retail, Hotel Chocolat also operates an organic cacao farm and the Rabot Hotel in St Lucia, both of which have been impacted by pandemic-related visitation drops. The British chocolatier also maintains storefronts in Ireland and Gibraltar.