Sweden’s Cint Group buys American analysis company for $ 1.1 billion
(Bloomberg) – The Swedish market research company Cint Group AB agreed to buy the American research company Lucid Holdings LLC for approximately $ 1.1 billion to expand its foothold in the digital research market.
Cint, which was listed in Stockholm in February, will pay $ 580 million in cash and $ 470 million in shares for Lucid, it said in a statement on Wednesday. The deal is seen to be completed at the end of the year.
Headquartered in New Orleans, Lucid operates a research technology platform that provides access to first-party survey data with respondents in over 100 countries.
“The acquisition of Lucid will establish the combined group as a US and global leader in technology-based insights, further strengthening Cint’s driven platform,” the company said. “In addition, the transaction will give Cint access to a highly competitive audience tracking technology and an offer.”
Cint, whose principal owner is the private equity company Nordic Capital, expects an annual profit before interest, tax, depreciation and amortization synergy potential of EUR 40 million (USD 46.4 million) to be fully implemented within 24 months of the completion of the transaction, with initial benefits for the first 6 months after closing.
To finance the cash part of the deal, the Swedish company is planning a new issue of as much as $ 510 million aimed at Swedish and international institutional investors through an accelerated bookbuilt offer. It has also secured $ 120 million in debt financing.
Carnegie Investment Bank AB and Danske Bank A / S act as financial advisors and joint bookrunners in the private placement.
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