The transaction, contingent on shareholder approval, is expected to close in Q4 and will consist of $1.46 billion in cash and $100 million in Informa stock.
Patrick Martell, CEO of business intelligence at Informa, will assume the role of CEO of Penton. Charlie McCurdy, CEO of global exhibitions, will oversee the enlarged exhibitions division.
It's not clear what role David Kieselstein, Penton CEO since 2012, will have at the company beyond the transition. But indications are that he is not staying on.
Penton, which is headquartered in New York, is owned by private equity firms Wasserstein & Co. and MidOcean Partners. Wasserstein & Co. owned Prism Business Media when it acquired Penton in 2006. MidOcean Partners acquired 50 percent ownership in 2007 when the transaction was completed.
With this sale, Informa acquires 30 exhibitions, including the Natural Products Expo, Farm Progress, and WasteExpo, as well as over 20 data and intelligence brands, and more than 100 print and digital B2B brands. Informa's increased presence in the U.S. is expected to account for 47 percent of annual pro-forma revenues.
This acquisition is part of Informa’s 2014-2017 growth acceleration plan in which the company is focusing on growing its global exhibitions and business intelligence divisions. In May, SIIA reported that Informa's business intelligence division accounted for 23 percent of its total revenue; global exhibitions accounted for 22 percent; the knowledge and networking division for 18 percent; and academic publishing for 37 percent.
In line with this mission, the company acquired Light Reading in August, as well as the Water & Waterwaste Equipment, Treatment and Transport Show (WWETT) in February. Informa also acquired the U.S.-based events Florida International Medical Expo and Dwell on Design in 2015, the Virgo Group, and Hanley Wood’s exhibition business in 2014.