Private Equity Firms More Cautious But Still Interested in Media Businesses

TSE STAFF

New York, NY – Investments in trade show companies by private equity (PE) firms plummeted last year as the economy swooned, but a spark of interest remains that can be fanned with the appropriate due-diligence preparation.

Richard Mead, a managing director of The Jordan, Edmiston Group, Inc. (JEGI), said the key for B-to-B media executives is providing clear financials and convincing evidence of solid growth potential.

“We expect well-run event businesses to continue to be prime targets for private equity investment,” said Mead. “As the economy improves, it’s a safe bet the PE community will be ready and able to get back into investing in quality B-to-B media companies.”

Mead said PE firms are looking for:

  • Audited results
  • Accurate and complete financial statements
  • Assurances that recent lower returns can be turned around and sustained
  • Plans for organic growth, including online strategies and the ability to seamlessly integrate acquisitions
  • Willingness of current management to stay on after securing a PE investment

 

The full story and chart, “Private Equity Firms with Investments in the Exposition Industry,” can be accessed by clicking the link above.

Reach Richard Mead at (212) 754-0710 richardm@jegi.com