VNU ACQUIRES MILLER FREEMAN FROM UNITED NEWS & MEDIA.VNU VNU Volontaires des Nations Unies (French)
VNU Verenigde Nederlandse Uitgeversbedrijven (Dutch)
VNU Virtual Network User (Haarlem, The Neth.) has entered into a definitive agreement to acquire Miller Freeman An earlier subsidiary of United News & Media (www.unm.com). Miller Freeman was a leading trade show organizer and publisher serving a variety of industries. In 1996, it acquired the Blenheim Group, producers of the popular PC EXPO trade show, and in 1999, it acquired the CMP , Inc. (San Francisco San Francisco (săn frănsĭs`kō), city (1990 pop. 723,959), coextensive with San Francisco co., W Calif., on the tip of a peninsula between the Pacific Ocean and San Francisco Bay, which are connected by the strait known as the Golden , CA) from United News & Media (London) for $650 million in cash, 75% of which will come from a fourth-quarter equity offering. The deal is expected to close by the end of the summer. VNU said 85% of the purchase price will be deductible for U.S. tax purposes. Penton Media finished second in the auction for Miller Freeman.
Miller Freeman assets include over 180 separate properties, including 81 magazines, 59 trade shows and related conferences and exhibitions and their Web sites in five major categories, including real estate and construction, sports & apparel, jewelry and gifts, travel and Latin America. Its trade shows, conferences and seminars account for more than 75% of its annual cash flow. VNU said that many of the assets are in markets "adjacent" to its existing trade shows and publications. Miller Freeman has approximately 800 employees and had 1999 revenues of $214 million and 1999 EBIDTA EBIDTA Earnings Before Interest Depreciation Taxes and Amortization of approximately $58 million.
VNU currently operates 73 trade publications in the U.S., mainly through its Bill Communications and BPI Communications divisions, including such titles as The Hollywood Reporter, Billboard, Progressive Grocer, and Successful Meetings. It also operates over 35 trade shows as well as related conferences and seminars in the U.S. Other American properties include SRDS SRDS Symposium on Reliable Distributed Systems
SRDS Standard Rate and Data Service
SRDS Shop Repair Data Sheets , Nielsen Media Research and VNU Marketing Information. The deal to acquire Miller Freeman increases the U.S. share of VNU's revenues to more than 50%, a figure that will continue to increase, the company said. The b2b and marketing services sectors now account for about 60% of VNU's overall revenue, followed by consumer magazines (24%), directory information services See Information Systems. (14%), and educational publishing (3%).
VMU VMU Virtual Memory Unit (Dreamcast device)
VMU Visual Memory Unit
VMU Virtual Matching Utility
VMU Virgin Mobile USA
VMU Marine Unmanned Aerial Vehicle Squadron (US DoD)
VMU Vehicle Mount Unit said the acquisition "fits VNU's explicit strategy of expanding its professional information activities " and of its "strategic objective of pursuing growth through acquiring high margin, market-leading branded information businesses with attractive growth prospects."
The sale of both Miller Freeman and Miller Freeman Europe (see next story) were a part of United News & Media's divestment plan, announced last November, that was designed to sell Designed to Sell is an HGTV American reality television show hosted by Clive Pearse. The show focuses on the fixing up and renovation of a home that is about to go on the market. It is one half hour long and is produced by Pietown Productions. The show began airing in 2004. its non-core properties and to focus on television broadcasting through a merger with Carlton Communications. That deal was officially cancelled on July 21. In total, United's divestitures generated more than $2 billion.