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Private investment companies considering 1.6 billion pounds to go to Euromoney

Private investment companies are considering allocating £ 1.6 billion to Euromoney, media group and FTSE 250 events

  • Requests from at least “two or three” investors to transfer the company into private hands
  • Buyers could be KKR, Hellman & Friedman and BC Partners, sources say

Private investment companies are considering allocating £ 1.6 billion Euro moneymedia group and FTSE250 events.

According to City sources, Euromoney management, led by CEO Andrew Rashbas, has responded to requests from at least “two or three” private investment investors over the past two weeks.

Any bid will be the latest in the frenzy of recent deals in the information services and activities sector. Potential buyers could be KKR, Hellman & Friedman and BC Partners, which have previously invested in the sector, one source added.

Fresh approach: several private equity funds have previously studied the possibility of buying Euromoney, but they were repulsed by the value of shares

Several private equity funds have previously studied the possibility of buying Euromoney, but they were repulsed by the share price.

But a source said: “Previously, they had to pay more to withdraw it from the market. Now the share price is so low that it is much more affordable. ”

The coronavirus abruptly shut down the event industry in 2020, and shares in Euromoney remain 16 percent below pre-pandemic levels.

But the operating profit of the group that publishes the financial magazine Euromoney jumped 16 percent to £ 40.2 million in the six months to the end of May 2022 due to an increase in subscriptions to data services and the recovery of the industry.

According to one banker, any offer would probably have to exceed £ 1.6 billion – a 40 per cent surcharge to market value – to arouse shareholder interest.

But he warned that private equity players could struggle to secure funding amid a wider market.

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Private investment companies considering 1.6 billion pounds to go to Euromoney

Source link Private investment companies considering 1.6 billion pounds to go to Euromoney

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