A private equity deal worth £434 million will see listed data analytics group GlobalData split into three divisions this month.
London-headquartered GlobalData, which provides data, expert analysis and solutions to companies in the world’s largest industries, announced in late December that it had agreed to hand over a minority 40% stake in its healthcare business to Inflexion, valuing the segment at £1.1 billion.
All regulatory and other conditions have now been satisfied and the completion of the investment will take place on 28th June 2024.
The deal will see GlobalData reorganise to operate across three customer-focused divisions – healthcare, consumer and technology.
The deal represents a 22x multiple of 12-month EBITDA, as reported in June 2023, for the division and compares to a current market capitalisation of £1.91bn for the entire GlobalData Group. At the time the prospective deal was announced, its total market cap stood at £1.35bn.
GlobalData Healthcare’s subscription service offers a solution for over 2,000 global customers across large global pharma, pharma & biotech, pharma suppliers, professional services and medical devices manufacturers.
The proprietary Intelligence Centre platform that the business has developed provides actionable insights into trends related to drugs, trials and therapeutic reports, supporting research and development of pharmaceuticals, and ultimately informing business intelligence decisions.
GlobalData Group revenues have grown by more than 50% over the last five years, from £178m in 2019 to over £270m expected in 2023. The group now serves more than 4,700 customers.
Mike Danson, CEO of GlobalData, said: “This investment in our healthcare division represents a compelling crystallisation of the significant value that has been created for our shareholders through the delivery of our growth strategy. We are delighted to be partnering with Inflexion to take our healthcare division into its next phase of growth.
“Our business will continue to evolve rapidly through our 2024-2026 growth transformation plan, as we invest in products and AI and leverage the proceeds from this transaction to accelerate growth investment and targeted M&A across the group.”