Tom Hunter
| Sir Thomas Blane Hunter | |
|---|---|
| Born | 6 May 1961 New Cumnock, Ayrshire |
| Alma mater | University of Strathclyde |
| Occupation | Property and sports goods |
| Net worth | £1.05 billion ($2.13 billion) |
Sir Thomas Blane Hunter (born 6 May 1961) is a Scottish businessman, entrepreneur, and philanthropist.
In April 2007, Hunter was reported in the Sunday Times Rich List as the first ever home-grown billionaire in Scotland, with an estimated wealth of £1.05 billion.[1] Due to the Financial crisis of 2007–2010 slicing an estimated £250million from his fortune, Hunter was overtaken as Scotland's richest man in late 2007 by Jim McColl, head of Glasgow engineering firm Clyde Blowers, who has an estimated fortune of £800million.[2]
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[edit] Sports Division
His father's business suffered badly during the 1984/5 miners strike, and he was forced to sell up.[3][4] Campbell invested in another businessman who sold footwear, with Campbell undertaking the accounts and working on a market stall in Irvine indoor market. Tom noticed how well the trainers were selling, and on leaving University in 1984 took two £5,000 cheques - one from his father and one a loan from the Royal Bank of Scotland - and started selling trainers from the back of a van, forming the business which would become Sports Division.[3] In 1989 he opened his first Sports Division store in Paisley selling sports kit and shell suits, and in 1995, with some help from his friend Sir Philip Green (now the billionaire owner of BHS and Top Shop), bought Olympus Sports,[3] a deal that transformed Sports Division into the No 1 sports chain in the UK, growing to 250 stores.
In July 1998, JJB Sports offered to buy the larger Sports Division for £290m: Hunter accepted, earning himself £252million. But it resulted in the loss of more than 500 local jobs, which prompted the local MP Des Browne to say he was "profoundly disappointed the people of Ayrshire have lost out because of the actions of one man."[5]
[edit] Other business activities
Hunter had expanded Sports Division through financing supplied by the Royal Bank of Scotland, but when he proposed the takeover of Olympus Sports, RBS refused to finance the deal. Through his friend Sir David Murray, he met Halifax Bank of Scotland governor Gavin Masterton on a trip to watch Rangers F.C. play Juventus, and subsequently built his business on the HBoS relationship.[6] He then went on and made a massive amount of money
Senior lending manager Peter Cummings introduced Hunter to property development, which resulted in his purchase of stakes in builder Crest Nicholson, and retirement homebuilder McCarthy & Stone. In 2001 Cummings introduced Hunter to fellow HBoS client Nick Leslau, which lead to the purchase of stakes via Leslau's Prestbury Investment Holdings in the freehold property portfolios of Travelodge hotels, licensed premises; and the theme park portfolio of Merlin Entertainments, including Alton Towers.[7]
Hunter has been unsuccessful on two occasions in trying to take over Rangers Football Club Ltd, with both bids blocked by friend and Rangers chairman Sir David Murray.
[edit] West Coast Capital
In March 2001, Hunter was a founding partner of West Coast Capital, an investment firm. Through this firm, he has become a major shareholder in a number of retailers - including USC, Office, D2, Qube; and 8% of BHS, with the bulk owned by Sir Philip Green. His other investments include Wyevale Garden Centres.[1][6]
At its height, West Coast investments covered over 50 companies, and Hunter was touted as a possible bidder for Selfridges - he lost out to Galen Weston.[8] However, in light of the Financial crisis of 2007–2008 he sold his stake in Dobbies Garden Centres to partner Tesco, lost his entire holding in Crest Nicholson; and a majority of his stakes in McCarthy & Stone and Wyevale Garden Centres.[9]
[edit] Philanthropy
Advised to move to Monaco after the sale of Sports Division, Hunter wanted to raise his family in his homeland. With a growing realisation that making money was, as he told Andrew Marr in a 2005 BBC interview, "only half of the equation;"[4] and inspired by his hero Andrew Carnegie, whose book "The Gospel of Wealth" central premise he often quotes:[5]
| “ | a man who dies rich, dies disgraced. | ” |
Hunter with his wife resultantly established The Hunter Foundation in 1998 with a £10million cheque as a tax management vehicle.[10] After discussions with Vartan Gregorian, head of the Carnegie Foundation in New York,[5] Hunter set a cause and a method which has resulted in the foundation donating millions to supporting educational and entrepreneurial projects in Scotland.
In 2001, Hunter was interviewed for the STV programme Rich, Gifted and Scots discussing his wealth, influences and philanthropy.[11] Hunter coined the term "venture philanthropy" – using his investment pledges to leverage more cash from others to invest with him and becoming involved in the strategic delivery of the initiatives he backed. This ensured he could make a bigger impact with his money.[6]
His donations and beneficial projects have included:
- £6m to the Band Aid appeal
- £1m to support the Make Poverty History campaign
- Supported the Live 8 concerts.
- £100,000 in a £500,000 joint project with the Scottish Executive.[12]
- £5m donation to establish the Hunter Centre for Entrepreneurship at the University of Strathclyde
- £1 million to the Children in Need charity appeal telethon
- £1 million to the Comic Relief charity appeal. Matched the £1 million raised during Comic Relief Does The Apprentice
- US$10–25 million to the William J. Clinton Foundation.[13]
Scotland's former first minister, Jack McConnell, who works for African focused Clinton Hunter Development Initiative, has said of Hunter:[4]
| “ | His philanthropic work and the creative way that he has thrown himself into that has been one of the most significant drivers for change in Scotland in the last decade. The work his foundation does is all about being a catalyst for change, not a substitute and not a general giveaway but a genuine approach to change the way things are done. | ” |
In July 2007 in interview with Jeremy Paxman on BBC Two's "Newsnight" programme, it was reported that Hunter had pledged to donate a further £1 billion to charity.[14] However, in light of fallings in his property portfolio as a result of the Financial crisis of 2007–2008, Hunter has presently suspended his philanthropic activities.[4][8]
[edit] Recognition
In 2005 he received a knighthood for "services to Philanthropy and to Entrepreneurship in Scotland".[15]
[edit] Personal life
Married to Marion, the couple have a daughter and two sons.[5] His friends include Philip Green, Sir David Murray, Nick Leslau, Bono, Sir Bob Geldoff and the David and Simon Reuben, Melaine Walker.[5]
In 2001 Hunter spent £500,000 on his 40th birthday party, at which Stevie Wonder and Kool and the Gang performed.[5] The party was held at his £50million home in Cap Ferrat, on the Côte d'Azur, which he sold to a Russian business for £50million in late 2007.[2] He has also since sold his Mangusta yacht, and his penthouse suite in the Metropolitan Hotel [disambiguation needed 
], London.[16]
[edit] References
- ^ a b BBC News - Billionaire Hunter tops rich list
- ^ a b "Sir Tom Hunter sells French villa for £50m". Daily Record. 2007-11-06. http://www.dailyrecord.co.uk/news/scottish-news/2008/11/06/sir-tom-hunter-sells-french-villa-for-50m-86908-20872838/. Retrieved 2009-01-04.
- ^ a b c Davey, Jenny (2009-01-04). "The Humbling of Tom Hunter - Page2". London: The Times. http://business.timesonline.co.uk/tol/business/industry_sectors/retailing/article5438834.ece?token=null&offset=12&page=2. Retrieved 2009-01-04.
- ^ a b c d Scott, Kirsty (2009-01-02). "Profile: Sir Tom Hunter". London: The Guardian. http://www.guardian.co.uk/theguardian/2009/jan/02/sir-tom-hunter-profile. Retrieved 2009-01-04.
- ^ a b c d e f Davey, Jenny (2009-01-04). "The Humbling of Tom Hunter - Page3". London: The Times. http://business.timesonline.co.uk/tol/business/industry_sectors/retailing/article5438834.ece?token=null&offset=12&page=3. Retrieved 2009-01-04.
- ^ a b c Davey, Jenny (2009-01-04). "The Humbling of Tom Hunter - Page4". London: The Times. http://business.timesonline.co.uk/tol/business/industry_sectors/retailing/article5438834.ece?token=null&offset=12&page=4. Retrieved 2009-01-04.
- ^ Kemp, Kenny (2002-02-10). "How the Westway was won by tycoon". Sunday Herald. http://findarticles.com/p/articles/mi_qn4156/is_20020210/ai_n12574093. Retrieved 2008-08-26.
- ^ a b Davey, Jenny (2009-01-04). "The Humbling of Tom Hunter - Page4". London: The Times. http://business.timesonline.co.uk/tol/business/industry_sectors/retailing/article5438834.ece?token=null&offset=12&page=5. Retrieved 2009-01-04.
- ^ Power, Helen (2008-12-17). "Sir Tom Hunter to lose part of Wyevale stake". London: The Times. http://business.timesonline.co.uk/tol/business/industry_sectors/banking_and_finance/article5355624.ece. Retrieved 2008-08-26.
- ^ *The Hunter Foundation, Registered Charity no. SC027532 at the Office of the Scottish Charity Regulator
- ^ Rich, Gifted and Scots featuring Tom Hunter, 2001
- ^ BBC News - Tycoon invests in schools scheme
- ^ Contributor Information to the William J. Clinton Foundation
- ^ BBC News - Tycoon to donate £1bn to charity
- ^ Sir Tom Hunter 'chuffed' at award, BBC News, 11 June 2005
- ^ Davey, Jenny (2009-01-04). "The Humbling of Tom Hunter - Page1". London: The Times. http://business.timesonline.co.uk/tol/business/industry_sectors/retailing/article5438834.ece?token=null&offset=12&page=1. Retrieved 2009-01-04.
