Informa believes the combination of Informa with Penton is commercially and financially compelling, with a strong portfolio fit that will significantly strengthen its Global Exhibitions and Business Intelligence Divisions, enhance its position in attractive verticals and increase its scale in the US, further improving long-term growth prospects.
Building on Informa’s recent growth and expansion in Exhibitions and targeted rationalisation of its legacy conference portfolio, the combination will create one of the world’s largest owner/operators of Exhibitions, Events and Conferences, says Informa.
Penton’s growing portfolio of around 30 Exhibitions includes leading brands in Natural Products & Food (Natural Products Expo), Agriculture (Farm Progress), TMT (IWCE), Infrastructure (WasteExpo) and Transportation (MRO Event Portfolio).
Additionally, Penton brings more than 20 attractive digital subscription data Brands in verticals including Infrastructure (Equipment Watch), Transportation (Aviation Week Intelligence Network) and Design & Manufacturing (SourceESB), and a portfolio of 100+ print and digital B2B insight products that complement and extend Informa’s portfolio of more than 100 digital subscription products within Business Intelligence.
Penton also adds significant capability in areas such as Event Services, multi-channel B2B Media Brands, Digital Communities, B2B Content Marketing and other B2B Marketing Solutions, strengthening Informa’s offering in these areas and opening up new opportunities for growth.
According to Informa, the Acquisition forms part of the ongoing 2014-2017 Growth Acceleration Plan, and will strengthen the revenue and operating profit contribution of the Group’s Global Exhibitions and Business Intelligence Divisions, complementing the continued growth opportunities in Academic Publishing and Knowledge and Networking.
On completion, the enlarged Informa Group will have a significant presence across the US, accounting for 47% of annual pro-forma revenues.
Stephen A. Carter, Group Chief Executive, said: “Today we are announcing continued progress on our Growth Acceleration Plan with the proposed addition of Penton Information Services. This combination will further strengthen our capabilities in Global Exhibitions and Business Intelligence and extend our US presence.”
He added: “Following extensive and exclusive talks with Penton’s owners and management, today’s announcement signals the next step in GAP, underlining our commitment to accelerated growth and international scale whilst delivering attractive returns for our shareholders.”
He concluded: “The opportunity created through the combination of Informa and Penton balances our portfolio and increases our scale and reach, further improving the predictability and sustainability of our growth performance and cash generation.”
