Bidding war for British publisher Informa in offing as it receives competing takeover proposal

31 July 2008

Informa Plc, the British publisher being targeted for takeover by a private equity consortium, said Tuesday that it had received another preliminary buy-out approach in addition to the £2.15 billion proposal made last month.

The publisher of Lloyd's List maritime newspaper and owner of more than 2,000 trade publications hasn't received a formal proposal, the company said in a regulatory statement, and did not reveal who made the approach.

Informa said that "it has received a preliminary approach from a further third party and as a result is providing access to information materials". Blackstone, one of the world's largest buyout groups, is understood to be the third party behind the latest move.

Dubai World Trade Center, part of the Investment Corporation of Dubai and one of the biggest events organizers in the Middle East, has joined the group, which may also include Permira Advisers LLP. Morgan Stanley is advising the UAE fund.

Meanwhile, talks are continuing with another consortium made up of Providence Equity Partners Ltd., Carlyle Group and Hellman & Friedman LLC, who had made a provisional £2.15 billion ($4.29 billion) takeover offer on 26 June at 506 pence per share. However, latest reports indicate that Hellman may have left the group.

The original offer represents a 7 per cent premium to the current share price and a 21 per cent premium to the closing price on the day before the offer was made.