IHS Acquires 50 Percent Ownership of Maritime Information Leader
ENGLEWOOD, Colo. (March 3, 2008) — IHS Inc. (NYSE:IHS), a leading global source of critical information and insight, today announced the acquisition of Prime Publications Limited, which owns 50 percent of Lloyd’s Register-Fairplay Limited. The acquisition makes IHS a 50-50 joint venture partner in Lloyd’s Register-Fairplay, a leading source of global maritime information. Lloyd’s Register, a separate entity, continues to own the remaining 50 percent share.
IHS acquired 100 percent of the stock of Prime Publications for approximately £38 million (British pounds), or roughly $75.5 million U.S. The transaction included approximately £10.7 million (British pounds) in non-interest bearing notes to the sellers of Prime Publications with the balance in cash.
Lloyd's Register-Fairplay is the pre-eminent brand name in the maritime information industry and the only organization that provides comprehensive details of the current world merchant fleet (tankers, cargo, carrier and passenger ships) and a complete range of products and services to assist the world's maritime community. Lloyd's Register-Fairplay uniquely meets international demand for information requirements on ships, companies, ports, real-time vessel movements and related news, and also provides research and consultancy services critical to the shipping industry.
Maritime issues are of enormous priority to corporations, governments and consumers, as shipping serves more than 90 percent of global trade, according to the United Nations. Lloyd’s Register-Fairplay exclusively manages and issues on behalf of the International Maritime Organization, or IMO, the industry standard ship and shipping company numbering system, placing it at the center of the maritime industry. The IMO is a specialized agency of the UN.
“The maritime information market is a dynamic and growing segment of the world economy, and it is of significant interest to IHS customers in our four business domains: energy, product lifecycle, security and environment,” said Jerre Stead, IHS chairman and chief executive officer. “As just one example, real-time tracking and monitoring of energy shipments -- combined with monitoring of vessel status, port conditions and security threats -- combine all the security, energy, environment and product lifecycle domains that are so important to our customers. It’s a critical information combination that they can’t get anywhere else.
“Lloyd’s Register-Fairplay also is a natural complement to our Jane’s Information Group business, which is a powerful brand in the security arena,” Stead continued. “Its current products and services are relevant to every major current customer group of Jane’s, including those in the national security, aerospace and defense, transport, public safety and law enforcement communities. Lloyd’s Register-Fairplay’s focus on the commercial maritime industry also naturally complements Jane’s position as the leading global provider of open source information and insight on the world’s navies and marine corps, as well as its corresponding strengths in land and air defense.”
With extensive databases on newbuildings (ships under construction or on order), ship characteristics, owners, vessel movement, casualty, companies, ports and maritime news, as well as research forecasting and maritime consultancy services, Lloyd’s Register-Fairplay products and services are unique to the industry. In addition to this, Lloyd’s Register-Fairplay publishes a number of leading magazine titles covering international shipping, safety, security and port-related activities. Lloyd’s Register-Fairplay also organizes maritime conferences, exhibitions and seminars.
Lloyd's Register Chief Executive Richard Sadler said: "Over the years we have enjoyed an excellent joint venture relationship with Prime Publications and have seen significant growth in Lloyd's Register-Fairplay's core products and diversification into new services for the maritime sector. The acquisition by IHS marks a new chapter for Lloyd's Register-Fairplay and we are excited to be partnering with a company that has such a strong strategic fit with our own activities.”
Lloyd's Register traces its origins to the coffee house of Edward Lloyd, which, in the latter part of the 17th century, had become a meeting place for those with a professional interest in ships and the cargoes they carried. Today, it keeps the world’s shipping industry informed through traditional directories as well as sophisticated web-based services. Prime Publications dates its origins from 1883 and has always been synonymous with the shipping magazine Fairplay International. Lloyd's Register-Fairplay joint-venture company was formed in July 2001 through the merger of Lloyd's Register's Maritime Information Publishing Group and Prime Publications Limited.
Perissos Developments Ltd., led the negotiations of the transaction for the shareholders of Prime Publications.
A conference call with IHS Chairman and CEO Jerre Stead to discuss the acquisition will be conducted today, March 3, at 11:00 a.m. MST/ 1:00 p.m. EST/ 6:00 p.m. GMT. Media and investors can participate on the call by visiting the IHS website at http://www.ihs.com/Investor-Relations/ir-calendar.htm and logging on at least 15 minutes prior to the start of the call, or by dialing in the U.S. +1 800 591-6923 or International callers +1 617 614-4907 and entering the passcode 35212628.
A replay of this webcast will be available approximately two hours after the conclusion of the live event today. To access the webcast recording, visit http://www.ihs.com/Investor-Relations/ir-calendar.htm.
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About IHS (www.ihs.com)
IHS (NYSE: IHS) is a leading global source of critical information and insight for customers in a broad range of industries. Our customer product and service solutions span four major areas of information: energy, product lifecycle management, environmental and security. By focusing on our customers first, we deliver data and expertise that enable innovative and successful decision-making. Customers range from governments and multinational companies to smaller companies and technical professionals in more than 180 countries. IHS has been in business since 1959 and employs more than 3,000 people in 35 locations around the world.
IHS is a registered trademark of IHS Inc. All other company and product names may be trademarks of their respective owners. Copyright © 2008 IHS Inc. All rights reserved.
About Lloyd's Register-Fairplay (http://www.lrfairplay.com)
Lloyd's Register-Fairplay is a joint venture company of Lloyd’s Register Group and IHS Inc. Lloyd's Register-Fairplay is the only organization to provide comprehensive details of the current world merchant fleet of 100 GT and above, and a complete range of products and services to assist the world's maritime community. With offices in the United Kingdom, Sweden, United States and Singapore, Lloyd's Register-Fairplay can satisfy international demand for information requirements on ships, companies, ports, movements and news related services, as well as provide research and consultancy services. Lloyd's Register-Fairplay has more than 180 employees and is able to draw on the resources of the Lloyd's Register Group and its network of over 200 Group offices worldwide.
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