Business information and events group Euromoney has agreed to sell its Hong Kong-based Global Markets Intelligence Division (GMID) to a consortium of investors, in a cash deal valuing it at around $180.5m.
GMID provides macro-economic, company and industry intelligence on emerging markets with a strong customer presence in China, India, Brazil and Central and Eastern Europe, 'though it also serves developed markets. The division itself comprises two units, CEIC and EMIS, and reported an operating profit of £11.9m ($15.1m) for the year ended 30th September 2017 (before exceptional items and acquired intangible amortisation).
The consortium consists of two members, CITIC Capital Partners Management Limited, the private equity arm of CITIC Capital Holdings Limited; and Caixin Global Limited. The sale is expected to complete by the end of April.
Euromoney says the sale will leave it in a net cash position at completion and will provide it with 'further capital to recycle towards its main investment themes'. CEO Andrew Rashbass says the deal illustrates his firm's strategy: 'where a good business is not strategic, we will sell it and recycle capital towards our main investment themes like price discovery, asset management and telecoms'.
Aloisio Parente (pictured), CEO of GMID and a near twenty-year veteran of Euromoney, says: 'I am tremendously excited about the opportunities that this transaction will afford to our business, customers and staff. Both CEIC and EMIS have traditionally had a strong presence in and understanding of the key developing markets. I am certain that the relationship with CITIC Capital and Caixin will help us to further enhance the value and reach of our services in all parts of the world'.
Consortium leaders said CEIC and EMIS are 'world-class platforms for macro-economic and business information', and plan to grow their global customer base by means of state-of-the-art technology and 'the rising global influence of China's economy' among other factors.
Web site: www.euromoneyplc.com .
All articles 2006-18 written and edited by Mel Crowther and/or Nick Thomas.