Informa To Dispose Five Corporate Training Businesses - Quick Facts

(RTTNews) - Informa plc (INFMF.PK, INF.L) has agreed to sell its five Corporate Training businesses to Providence Equity Partners for up to $180 million. The initial consideration of $165 million, comprises $100 million cash and a $65 million vendor loan. The vendor loan is for a maximum term of 6.5 years and attracts a PIK interest rate of 1% in the first two years, rising to 10% in the third year with a further 1% per year rise thereafter.

The cash element of the consideration would be used initially to reduce Group net debt. A further cash payment of up to $15 million would be received by Informa in 2014 dependent upon the businesses achieving a certain level of revenue in 2013.

For 2012, the contribution attributable to the Corporate Training businesses was revenue of about $194 million, or 122 million pounds and adjusted EBITA of $23.5 million. The disposal may be complete in the third quarter of 2013.