Informa in talks to take over UBM to create industry giant
If a deal were to go through, it would create a titan worth more than £9 billion.
Publisher and events firm Informa is in talks to acquire rival UBM in a deal expected to be valued at more than £3 billion.
In a stock exchange announcement after market close on Tuesday, UBM said that in light of its recent its share price movement, it was disclosing that the duo are in discussions “regarding a potential combination of the two companies”.
If a deal were to go through, it would create an industry giant worth north of £9 billion in terms of market capitalisation.
The statement read: “UBM and Informa are in preliminary discussions about the details of the potential combination, which is subject to a number of standard conditions.
“There can be no certainty that any firm offer will be made or as to the terms on which any offer might be made.
“Informa reserves the right to introduce other forms of consideration and/or vary the mix or composition of consideration of any offer.
“Shareholders will be kept updated as appropriate.”
UBM shares closed up more than 5% at 786.5p, Informa’s stock was up 0.6% at 750.5p.
Under chief executive Tim Cobbold, UBM has exited non-core operations to focus on its events business.
It sold its last magazine title, the construction industry publication Building, earlier this month.
UBM also owned Express Newspapers, Property Week, The Publican and Music Week, but now it has shifted its focus on events, conferences and exhibitions, such as fashion shows in the US and jewellery expositions in the UK.
Informa specialises in B2B events, business intelligence and academic publishing, and has a presence in North America, South America, Asia, Europe, the Middle East and Africa.