The former Tesco chief executive Sir Terry Leahy has made a multimillion-pound investment in the performing arts school behind the LMA Choir, which featured on last year’s series of ITV’s The X Factor, to fund its international expansion.
Leahy, who is reportedly worth more than £70m, has come on board to help LMA, the Liverpool-based media, music and performing arts school, “develop and promote the brand globally”.
The 63-year-old, who amassed an £18m pension during his 14-year tenure running Tesco until 2011, has taken a 20% stake in the business.
LMA was propelled into the spotlight when a group of its students, the LMA Choir, made it through to the live shows stage of last year’s X Factor with Robbie Williams as their mentor.
The funding from Leahy, alongside the investment firm William Currie Group (WCG), will be used to open an LMA school in London as well as five international campuses.
LMA’s founders, Richard and Simon Wallace, will continue to hold a majority stake in the business. “I’m absolutely thrilled to be part of LMA,” said Leahy. “I’m looking forward to working closely with the team to help take LMA into its next chapter.”
During his time at Tesco, Leahy masterminded the retailer’s disastrous expansion into the US and China, prompting his predecessor, Lord MacLaurin, to say he had “lost the plot” in his later years running the business.
WCG has previously backed ventures including the online retailer Asos, the Hut Group and the e-commerce technology company MetaPack.
“It’s clear to see that LMA has a bright future and is on track for a fantastic period of growth,” said Bill Currie, founder of WCG. “I’m confident that, with the right support and growth strategy, [LMA’s] students will have an unrivalled platform from which to launch their career.”
The talks with Leahy and WCG began last year as LMA’s founders decided to capitalise on the attention The X Factor run had attracted for the school.
“2018 was an incredible year for us, creating lifelong memories for our students,” said Simon Wallace. “We are now focused on maintaining that momentum and continuing to build on our success.”
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