ISG to Pay Less Cash, More in Shares for TPI

Information Services Group, Inc. (ISG), the acquisition vehicle with former-VNU man Michael Connors at the wheel, has announced modifications to its deal to buy outsourcing advisory firm TPI, replacing $50m of the previously agreed $280m with warrants for its own shares.

ISG will now acquire TPI for $230m, but will issue the seller five million warrants at closing for ISG shares at a price of $9.18 per share (20% above its closing price last Friday), and exercisable between twelve months and five years after the closing date of the acquisition. ISG also says it will increase its own share and/or warrant repurchase program from $40m to up to $85m, commencing immediately on completion of the acquisition.

Chairman and CEO Connors says the changes 'demonstrate our confidence in TPI's future as well as our commitment to enhancing shareholder value in the context of recent difficult financial market conditions. TPI is the clear market leader operating in a mega-trend industry. It's an excellent platform company for ISG...' Ed Glotzbach, President and CEO of TPI, says that in the months since the agreement, 'TPI has developed a strong partnership with the ISG team.'

The acquisition is subject to ISG shareholder approval and is expected to be concluded in the fourth quarter of 2007. Further details of the changes are available on ISG's web site at www.informationsg.com.

ISG was launched in 2006 with the aim of building a major information services company, and is based in Stamford, CT. TPI is the world's largest outsourcing advisory specialist and is on the web at www.tpi.net.

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.