Carlyle Group, a private equity giant, and Euromoney Institutional Investor, a financial media firm, have sold a controlling stake in Dealogic, a content and analytics platform, generating a substantial return.
Even though Carlyle did not disclose the details of the said deal, Euromoney said that it would receive around $135m for its 15.5 percent stake – more than double the amount that it paid in 2014.
Ion Investment Group, the Dublin-based fintech firm, will now hold a majority stake, while the management of Carlyle and Dealogic will retain a “significant” interest.
Andrew Rashbass, the chief executive of Euromoney, said that the sale was in line with the strategy of the company of “selling businesses which do not align with its strategy and recycling that capital to invest in our main investment themes like price discovery, post-trade activities, asset management and telecoms.”
Ion’s founder and chief executive, Andrew Pignataro, added: “Together [with Dealogic] we will be able to accelerate the digitisation and automation of capital markets and introduce innovations to how financial institutions, investors and issuers conduct their business.”
A minority stake in Ion is also held by Carlyle, having acquired part of the stakes of TA Associates, a US private equity firm, stake in 2016.
This morning, Euromoney Institutional Investor, the listed company which publishes the Euromoney magazine, has also released a preliminary statement regarding its full-year results.
The company reported a four percent rise in profits year on year to £106.5m and a six percent increase in revenue to £428.4m. The final dividend jumped 33 percent to 21.8p.
Shares in Euromoney, which is 49.1 percent-owned by the Daily Mail & General Trust, increased by more than four percent in early morning trading.