Friday, 19 September 2008

Private equity bid for Informa collapses

If you want evidence of the fallout of the current financial crisis on PE backed M&A, the collapse today of the consortia bid for Informa is a pretty substantial example. More details see FT 18th Sept 08 - Consortium move on Informa collapses

There are two reasons for my interest in this:

- Informa had bought Datamonitor which had bought Ovum which had bought Richard Holway Ltd. So I guess there is a tiny bit of me, and some 'Holway People' that I feel a duty of care for, still lingering somewhere in Informa.

- as a director of a tech M&A company, this shows how the current crisis is having a serious affect on the mechanics of doing deals. PE houses were the mainstay of the tech M&A market in recent years. Looks like they can't do big deals anymore. Trade buyers, likewise, have difficulty raising the funds required (see Misys and Allscripts)

A healthy M&A Market, just like a healthy IPO market, is pretty vital in creating a healthy overal tech market. More reason for the gloom, I'm afraid.

1 comment:

Duncan Chapple said...

A fascinating development. I've link to this at