TechTarget stated that it has agreed to merge its digital businesses with those of London-based events organizer, Informa
TechTarget (TTGT.O) agreed on Wednesday to merge its digital businesses with those of London-based events organizer Informa (INF.L) in order to broaden its portfolio and diversify revenue streams, the firms announced.
According to the statement, Informa will contribute its Informa Tech digital operations and $350 million in exchange for a 57% ownership in the merged company, while TechTarget shareholders would receive $11.79 per share and keep the remaining stake.
“The combination brings scale benefits, diversified revenue streams and strategic expansion opportunities by expanding TechTarget’s current addressable market,” the two firms said.
TechTarget shares were up 15% in extended trading on Wednesday. In 2023, the stock lost 21% of its value.
Informa Tech’s digital businesses include Omdia, a technology research organization, as well as a portfolio of digital media brands such as InformationWeek, Network Computing, and AI Business.
According to the announcement, the combined firm, which will be headquartered in Newton, Massachusetts, will have more than 8,600 customers in over 20 countries and will more than double TechTarget’s present addressable market.
Gary Nugent, the current CEO of Informa Tech, will take over as CEO of the newly established company. The transaction is expected to close in the second half of 2024, subject to regulatory approvals.
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