Britain’s Informa has reached a deal to buy Ascential,valued at approximately £1.2 billion. This strategic acquisition reinforces Informa’s position as the world’s largest events business and marks a significant milestone in its three-year investment program.
Ascential, known for its high-profile global conferences including the prestigious Cannes Lions advertising festival and Money 20/20, will be acquired through a cash offer of 568p per share. Prior to the announcement, Ascential’s market value was around £750 million. The acquisition completes Informa’s recent investment initiatives aimed at expanding its global footprint in the events sector.
Stephen Carter, Chief Executive of Informa, expressed enthusiasm about the acquisition, stating, “The addition of Ascential’s iconic event brands aligns perfectly with our strategy. We anticipate significant revenue opportunities, an immediate uplift in earnings per share, and over £12 million in annual cost savings and efficiency improvements. This deal not only enhances our existing portfolio but also offers new avenues for growth and data-driven insights.”
Informa’s acquisition of Ascential is expected to drive expansion of its key events, leveraging global franchising opportunities and enhanced data utilization. This move underscores the resilience and strength of the events industry, which has rebounded robustly from the pandemic, surpassing pre-COVID levels of activity as businesses resume in-person engagements.
Informa’s focus on business-to-business events, a decision made in late 2021, has proven prescient, with the company now posting double-digit growth figures. “While the shift towards B2B events may have seemed counterintuitive during the global lockdowns, it has clearly positioned us advantageously in today’s market,” added Carter.
Ascential, which recently streamlined its operations to concentrate primarily on events alongside subscription and advisory services, has seen its market capitalization rise to £1.2 billion from £749 million following the deal’s announcement. The company, which employs approximately 700 staff members, had previously planned to return £850 million to shareholders from the sale of its digital commerce and trend forecasting divisions.
This acquisition follows Informa’s earlier $1 billion purchase of Tarsus, further consolidating its substantial presence in the events sector. The strategic alignment with Ascential is set to bolster Informa’s global reach and innovative capabilities in event management.
