New York, NY – Sixteen exhibition and conference deals valued at $164 million were completed in the First Quarter of 2013, compared with 15 deals valued at $263 million during the same period last year, according to a report by The Jordan, Edmiston Group, Inc. (JEGI), an investment bank for the media, information, marketing, healthcare and technology sectors. “Following a year-end surge in M&A activity driven by impending tax changes, it’s not surprising that there were more deals with less value in the First Quarter of 2013,” said Scott Peters, co-president, JEGI.
“In 2013, we expect to see the same theme as last year in terms of M&A activity in the exhibitions and conferences sector,” said Peters. “Based on deals in the pipeline, we think activity will dampen in the first half and be more active in the second half of the year.”
In March, Trade Show Executive reported that Nielsen Holdings N.V. plans to sell its trade show division, Nielsen Expositions. The division generated sales of $183 million in 2012, and some sources said it could fetch up to $1 billion.
In general, there is strong demand for trade shows and conferences because of the cash flow dynamics, he said. “Pricing is holding, and we are seeing stronger multiples,” said Peters. “JEGI expects 2013 will see a diverse and active pool of buyers among strategic companies and private equity firms, both of which still have significant amounts of capital that they need to put to work.”
The exhibitions and conferences sector saw numerous smaller transactions in the First Quarter of 2013, as compared with the First Quarter 2012. Notable deals for the quarter included:
- Post Capital Partners’ acquisition of corporate event planning and management firm TBA Global;
- Nielsen Expositions’ acquisition of the Tailgating Industry Association; and
- IMG Arts and Entertainment’s acquisition of Taste Festivals, organizer of food events, including Taste of London and The Big Feastival, for $7.7 million.
Reach Scott at (212) 754-0710 or ScottP@jegi.com
