UBM takes 'significant step forward' after disposing Delta unit

FTSE 250-listed B2B communications and marketing service provider UBM has completed the bulk of the sale of its Data Services businesses, collectively known as Delta.

FTSE 250-listed B2B communications and marketing service provider UBM has completed the bulk of the sale of its Data Services businesses, collectively known as Delta.

The sale, first announced earlier this year to independent private equity fund manager Electra Partners, is worth a total consideration of £160m including a £40m vendor loan note.

The group said on Tuesday that completions of the sale of the remaining Delta businesses would occur as certain additional regulatory and other conditions were satisfied.

Delta represents the bulk of UBM's Data Services segment and includes its Health, Technology and IP, Trade and Transport, and Paper business units.

Speaking on February 6th, UBM's Chief Executive Officer David Levin said: "This transaction is a significant strategic step forward for UBM: by divesting Delta we simplify UBM's business, improve the quality of our earnings, enhance our underlying growth rates and remove the challenges inherent in the continued transition to digital data delivery."

UBM said it would use £100m of the sale proceeds to repay bank debt.

MF

Recommended

Three sustainable stocks that are doing well by doing good
Share tips

Three sustainable stocks that are doing well by doing good

Professional investor Peter Michaelis of the Liontrust Sustainable Investment Team picks three stocks to buy that are helping to create a cleaner, saf…
26 Jul 2021
Share tips of the week – 23 July
Share tips

Share tips of the week – 23 July

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
23 Jul 2021
Will Zoom’s $15bn purchase help it expand?
Tech stocks

Will Zoom’s $15bn purchase help it expand?

The videoconferencing platform became a household name during the pandemic, but it now needs new sources of growth. Alex Rankine reports
23 Jul 2021
Philip Morris goes “beyond nicotine”
Stocks and shares

Philip Morris goes “beyond nicotine”

US tobacco giant Philip Morris International has agreed to pay £1bn for British inhaler specialist Vectura.
23 Jul 2021

Most Popular

The MoneyWeek Podcast: Asia, financial repression and the nature of capitalism
Economy

The MoneyWeek Podcast: Asia, financial repression and the nature of capitalism

Russell Napier talks to Merryn about financial repression – or "stealing money from old people slowly" – plus how Asian capitalism is taking over in t…
16 Jul 2021
Why the UK's 2.5% inflation is a big deal
Inflation

Why the UK's 2.5% inflation is a big deal

After years of inflation being a financial-assets problem, it is now an “ordinary things” problem too, says Merryn Somerset Webb. But central banks st…
16 Jul 2021
Commodity supercycle or not, here’s a metal that’ll still be in demand – tin
Industrial metals

Commodity supercycle or not, here’s a metal that’ll still be in demand – tin

Commodity prices may have come off the boil recently. But for tin, the only way is up. Dominic Frisby picks the best ways to invest.
7 Jul 2021