"The acquisition of GlobalSpec is a significant development that presents a unique opportunity for IHS to transform our existing engineering specifications and standards business to long-term double-digit growth"
ENGLEWOOD, Colo.--(BUSINESS WIRE)--IHS Inc. (NYSE: IHS), the leading global source of information and
analytics, announced today that it has signed a definitive agreement to
acquire GlobalSpec, Inc., the leading specialized vertical search,
product information and digital media company serving the engineering,
manufacturing and related scientific and technical market segments, from
Warburg Pincus LLC. The $135 million acquisition is subject to customary
closing conditions, including expiration or termination of the
applicable waiting period under the Hart-Scott-Rodino Antitrust
Improvements Act of 1976.
“Acquisitions continue to be a key element in the strategic development
of the IHS business and a driver of the company’s long-term growth.
While the purchase price for GlobalSpec represents a strategic
double-digit EBITDA multiple, it will enable a dramatic transformation
of our product design portfolio representing approximately 15 percent of
our revenue,” said IHS Chairman and Chief Executive Officer Jerre Stead.
“GlobalSpec, combined with our global scale and industry expertise, will
create an even greater destination for trusted product information and
technical insight for GlobalSpec’s global community of more than seven
million engineers. We will market our solutions to a large segment of
engineers around the world who currently do not use IHS services.”
Founded in 1996, GlobalSpec provides its registered users with a
domain-specific search engine for more than 3,500 current product,
service and technology vertical categories, a vibrant community of
engineers helping other engineers solve important problems, and more
than 70 product and industry e-newsletters that help engineers and
related professionals perform their key job tasks with the highest
levels of accuracy and productivity.
“The acquisition of GlobalSpec is a significant development that
presents a unique opportunity for IHS to transform our existing
engineering specifications and standards business to long-term
double-digit growth,” added IHS President and Chief Operating Officer
Scott Key. “We will leverage IHS global scale in sales and market
presence to create large strategic synergies and revenues as we elevate
our Product Design business to accretive growth rates and margins."
Due to the vibrant community of engineers and manufacturing knowledge
workers that GlobalSpec has developed, it has become a key destination
for engineers as well as suppliers of products and services that support
a worldwide engineering audience. The company has a global user base of
more than seven million registered users – a user community that grew by
500,000 new registrants during 2011. GlobalSpec is headquartered in East
Greenbush, N.Y. and employs approximately 230 people.
Added Stead: “With the acquisition of GlobalSpec, IHS will transform
engineering workflows and decision making with seamless integration of
information, insight and productivity tools. This market-leading
workflow solution set will provide unique value to customers and drive
long-term, double-digit growth at accretive margins."
Additional information about this acquisition is available at http://investor.ihs.com.
The acquisition will also be discussed on the previously announced IHS
second quarter 2012 earnings conference call on June 18, 2012.
IHS (NYSE: IHS) is the leading source of information, insight and
analytics in critical areas that shape today’s business landscape.
Businesses and governments in more than 165 countries around the globe
rely on the comprehensive content, expert independent analysis and
flexible delivery methods of IHS to make high-impact decisions and
develop strategies with speed and confidence. IHS has been in business
since 1959 and became a publicly traded company on the New York Stock
Exchange in 2005. Headquartered in Englewood, Colorado, USA, IHS employs
approximately 5,900 people in more than 30 countries around the world.
GlobalSpec, Inc. is the leading provider of digital media solutions
designed to connect industrial marketers with their target audience of
engineering, technical, industrial, scientific and manufacturing sector
professionals. GlobalSpec provides its registered users with a
domain-expert search engine to search more than 50,000 supplier catalogs
by specification, a broad range of proprietary and aggregated Web-based
content, over 15 annual online events, and more than 70 e-newsletters -
helping them search for and locate products and services, learn about
suppliers and access comprehensive technical content. For suppliers,
GlobalSpec helps generate awareness, demand and engagement opportunities
among the professionals they are looking to reach – from inbox to
desktop, through networks and via real-time engagement.