News
LDC sells PEI Media Group generating 3.5x return
8 Jun 2018
LDC, the UK’s leading mid-market private equity investor, has exited its investment in PEI Media Group Ltd (‘PEI Media’) in a sale to Bridgepoint Development Capital. The deal value is undisclosed.
PEI Media provides market-leading intelligence and analysis for senior professionals in the alternative asset classes of private equity, real estate, infrastructure, private debt and other emerging specialisms such as agri-investors. Its product suite includes globally recognised print and online publications, specialist sector research databases and events.
Since LDC backed the management buyout of PEI Media in 2015, the business has significantly invested in the development of its digital and content capabilities, enhanced its subscription offering and doubled revenues from its events arm, which now has a portfolio of premium international annual conferences.
As a result, PEI Media has grown revenues by 78 per cent to more than £32m in the financial year ending December 2017, with employee numbers increasing by 30 per cent during the same period. The transaction provides a money multiple return of 3.5x and an IRR of 70 per cent for LDC, and was led by LDC Investment Director Troy Harris-Speid and Investment Manager Alex Wilby.
The market we operate in is highly progressive and undergoing a strongly positive transformation in the appetite of institutional investors for exposure to alternative assets. Having LDC on board as our private equity partner has given us the support needed to drive the business forward."
“We are now well placed to continue our growth journey, as we look to consolidate our position as the market-leading information group for alternative assets.”
Troy Harris-Speid, Investment Director at LDC, said: “PEI Media is a forward-thinking business with a commitment to providing its customers with actionable market insight. Over the last three years, we have worked in partnership with Tim and his team who have demonstrated both ambition and success to develop a best in class international media group. We wish the team every success on the next phase of their growth journey.”
LDC and PEI Media were advised by Livingstone Partners and Squire Patton Boggs, with vendor due diligence completed by EY, PWC and Intechnica. Management were advised by Liberty Corporate Finance.