Global business events company, UBM, was up in early trading on Wednesday after the announcement of a £3.8bn offer from rival Informa. UBM’s share price jumped +12.71% at 9:04 AM GMT.
Informa which is a global B2B events, business intelligence and academic publishing company, saw its share price fall -8.24% at 9:05 AM GMT.
The events giant said UBM shareholders would receive 1.083 Informa shares and 163p in cash for every UBM share - a 30% premium on UBM’s 15 January closing price.
The proposed deal would create a leading B2B Information Services Group and address an industry trend towards increased operating scale and industry specialisation.
Chief Executive of Informa, Stephen A. Carter, said in a joint statement:
"It is clear that the B2B Market is moving to Operating Scale and Industry Specialisation. The Combined Group will have the reach and market capabilities to take full advantage of these trends."
Carter added: "We are today proposing the creation of a...Combined Group [that] will have the international reach, operational capabilities and cashflow to pursue the full growth opportunities this creates."