In a seismic shift for the events and business intelligence landscape, British publishing giant Informa PLC has announced its acquisition of Ascential, the company behind the prestigious Cannes Lions festival, for a whopping £1.2 billion (RM7.25 billion).
This landmark deal, which comes hot on the heels of the 2024 Cannes Lions event, promises to reshape the future of global marketing and fintech conferences.
The Power of Premium Events
The acquisition not only brings the iconic Cannes Lions under Informa’s umbrella but also includes the globally recognised Money 20/20 fintech conference series and the respected marketing effectiveness platform WARC.
This strategic move significantly bolsters Informa’s already formidable events portfolio, positioning the company as a dominant force in the industry.
Informa’s CEO, Stephen Carter, reiterated the company’s commitment to nurturing world-class B2B brands, stating, “Combined, we can expand them into more sectors, accelerate growth and take advantage of new opportunities.”
This vision aligns perfectly with Informa’s expertise in creating and growing influential industry events.
A Data-Driven Future
One of the most intriguing aspects of this acquisition is Informa’s plan to leverage its vast reserves of first-party data to fuel the growth and expansion of both Cannes Lions and Money 20/20.
The company’s IIRIS First Party Data Platform is expected to play a crucial role in this strategy, offering unprecedented insights and opportunities for event development.
This data-centric approach could revolutionise how these events are tailored to meet the evolving needs of the marketing and fintech sectors, potentially opening up new avenues for innovation and engagement.
Cannes Lions: A Beacon of Creativity
The timing of this acquisition coincides with Cannes Lions’ 70th anniversary, a milestone that underscores the event’s enduring relevance in the advertising industry.
The 2024 edition saw an impressive 26,753 award submissions, with notable increases in brand and media owner participation.
These figures not only highlight the festival’s continued growth but also its ability to adapt and remain at the forefront of creative excellence in advertising.
Under Informa’s stewardship, there’s potential for even greater expansion and influence in the years to come.
Financial Implications and Future Prospects
The deal, which values Ascential shares at a 53% premium over their previous closing price, reflects the high value placed on premium event brands in today’s market.
Cannes Lions alone generated £101million in revenue last year, underlining its significance as a revenue driver.
Informa’s own financial health appears robust, with the company reporting an 18.8% growth in underlying operating profit and an 11% increase in revenue for the first half of the year.
This strong performance has led to an upward revision of the company’s annual expectations, potentially reaching £1 billion.
A New Chapter for Both Companies
Philip Thomas, CEO of Ascential, expressed pride in the company’s brands and people, highlighting the transformative impact of Lions and Money20/20 on their respective industries.
He views the acquisition as an opportunity to unlock further growth, leveraging Informa’s international footprint and capabilities in data and analytics.
As the dust settles on this monumental deal, the industry watches with keen interest.
The combination of Informa’s resources and expertise with Ascential’s premier event brands promises to create a powerhouse in the B2B events and intelligence space.
