CITIC Capital’s private equity arm has led a consortium including Beijing-based media company Caixin Global to acquire financial information database operator Global Marketing Intelligence Division (GMID) from Europe’s Euromoney Institutional Investor for $180.5 million.
As part of the transaction, the consortium will buy GMID’s two main units — CEIC and EMIS — that provide global financial information and data from the macro and micro perspectives, respectively on key financial and business data for emerging markets, an announcement from CITIC Capital said on Monday.
It is one of the biggest offshore purchases ever by a mainstream Chinese media company. Further, the acquisition will help CEIC and EMIS to grow and expand their business, especially in China.
“Following the purchase, CEIC and EMIS, whose rich base of financial data products are mainly PC-based, will devote more resources to focus on designing customized data products that match clients’ workflows. Those products will cover a range of interfaces, from PCs to mobile devices, enabling professionals around the world to access premium global financial data in a timely and easy manner,” said the statement.
The acquisition is expected to be completed by the end of April this year. Upon completion of the acquisition, CITIC Capital and Caixin Global, along with the management team from CEIC and EMIS, will jointly manage the company’s affairs, CITIC said.
The deal will expand Caixin Media’s footprint in the financial data space, following its introduction of Caixin China PMI and establishment of Caixin Insight in 2015 and Caixin Global in 2016. Over the last three years, Caixin Media has implemented a dual strategy that combines traditional news with premium financial information and data services.
CEIC and EMIS, both established in the early 90s, were purchased by Euromoney, the London Stock Exchange-listed firm providing business-information covering asset management, price discovery, data & market intelligence, and banking & finance under brands including Euromoney, Institutional Investor, BCA Research, Ned Davis Research and Metal Bulletin. The group also runs an extensive portfolio of events for the telecoms, financial and commodities markets.
Meanwhile, for CITIC, it will be its fourth carve-out deal after the $300-million purchase of global English language education business Wall Street English in January where another PE firm Baring Private Equity Asia was also part of the consortium.
Further, CITIC Private Equity Funds Management was recently reported to hit the first $1.4 billion close for its latest fund, where it plans to raise $2 billion.
With over $15 billion worth of assets under management, the Shanghai-based firm has a focus mainly on companies with some form of government ownership or involvement. In the past, the firm has raised three China funds — CITIC Capital China Partners ( 2007), CITIC Capital China Partners II (2010) and CITIC Capital RMB Multi-Asset Class Fund – Buyout Strategy (2014).