Portfolio Agreement with IHS Markit

Continued Portfolio Management through exchange of Agribusiness Portfolio for further scale and capability in Informa Tech.

London: Informa (LSE: INF.L), the International Exhibitions, Events, Information Services and Scholarly Publishing Group, today announces further Progressive Portfolio Management (“PPM”) through an agreement with information services group, IHS Markit, that sees Informa’s Agribusiness Intelligence Portfolio exchanged for IHS Markit’s leading portfolio of TMT brands, further enhancing Informa Tech.

“This agreement is very positive for both IHS Markit and Informa, increasing the focus of each company on core markets where it has particular strengths and a long-term commitment to invest and grow” said Lance Uggla, CEO IHS Markit and Stephen A. Carter, Group Chief Executive, Informa PLC.

The agreement forms part of Informa’s PPM programme designed to focus the Group on brands and customer markets with the greatest opportunities for growth and expansion. It significantly strengthens Informa’s market position in Telecoms Media & Technology, whilst providing an attractive new home for the Group’s specialist information brands within the Agribusiness Intelligence Portfolio, with an owner committed to investing and expanding in this market over the long-term.

The expansion of Informa Tech includes a portfolio of B2B brands providing specialist research and data to customers through a range of subscription products and consulting. It extends and enhances Informa’s international reach through its strong presence in Asia and North America, and further strengthens its position in key sub-sectors of the TMT market, most notably in Information Technology, Communications Technology, Security Technology and Emerging Transformational Technology.

The enlarged Informa Tech will have annual revenues of around $350m and offer a wide range of B2B services, making it an attractive international partner for informing, educating and connecting Technology businesses and professionals.

Stephen A. Carter, Group Chief Executive, Informa PLC, said: “At Informa, we are focused on improving our depth and specialisation around attractive customer markets. Our ambitions for Informa Tech will be further enhanced by the addition of IHS Markit’s TMT portfolio, extending our customer and international reach, creating a strong platform for future growth.”

Lance Uggla, CEO, IHS Markit, said: “The Informa Agribusiness Intelligence portfolio is a clear extension of our Chemical and Downstream businesses and builds our existing data, pricing, insights, forecasting and news services within our Resources segment. Agriculture is the largest end chemical market in the world and this transaction expands our capabilities into fertilizers and chemical crop protection while substantively expanding our capabilities in biofuels.”

Transaction Details

The portfolio agreement is structured as two separate transactions that value the two businesses at equivalent EBITDA multiples, with Informa contributing an additional $30m in cash to IHS Markit to reflect the larger EBITDA contribution from the IHS Markit business. The transactions are expected to close in July 2019 and are subject to customary closing conditions, including US regulatory approval.