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Informa agrees a 2.24 billion pound deal for Clarion

Informa has agreed to acquire Clarion from Blackstone at an enterprise value of 2.24 billion pounds. The purchase brings more than 100 business-event brands into its portfolio. Approximately 940 million pounds of new equity and acquisition financing are planned to fund the deal. Completion is expected in the final quarter, subject to regulatory clearance, while the company’s earnings and savings estimates remain projections.

Economics & Markets··Evening
Varied booths, wooden crates and metal frames in a large exhibition hall during setup, with ceiling trusses receding into the distance.

Clarion brings more than 100 event brands

Informa, a business-events operator, agreed to acquire rival Clarion from investment group Blackstone at an enterprise value of 2.24 billion pounds.[1], [2]

Clarion owns more than 100 business-event brands across electronics, defence and security, gaming, energy and technology. Informa projects that its combined live-events business would generate more than 4.2 billion pounds in revenue across approximately 1,000 brands, over 40 market categories and more than 30 countries.[1]

New equity and borrowing are planned to fund the purchase

The group plans approximately 940 million pounds of new equity alongside committed acquisition financing. The placing represents approximately 9 per cent of its existing share capital and includes a separate offer for retail investors. Informa plans to pause its current share buyback to direct capital towards the transaction.[1]

Regulatory clearance sets the completion timetable

Informa expects completion in the final quarter, subject to regulatory clearances. Management targets approximately 50 million pounds of annual operating-cost savings and another 25 million pounds of operating profit from additional revenue, with full delivery in the third complete year of ownership. The group also targets net debt below 3 times earnings before interest, tax, depreciation and amortisation at year-end, and below 2.5 times by the following year-end.[1]

References

  1. News sourceInformaInforma agrees 2.24 billion pound Clarion deal and plans academic separation↩1↩2↩3↩4
  2. News sourceLegal BusinessInforma agrees to acquire Clarion from Blackstone↩
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