Ascential Plc is considering alternatives after efforts to offload its consumer trend-spotting unit stalled, people with knowledge of the matter said.
(Bloomberg) — Ascential Plc is considering alternatives after efforts to offload its consumer trend-spotting unit stalled, people with knowledge of the matter said.
The UK media company is speaking to advisers about its next steps after bids for the WGSN business fell short of expectations, the people said.
Difficulties with that divestment have led Ascential to consider a broader range of options that could include a full sale, according to the people.
Shares of Ascential jumped as much as 8.2% on Wednesday for their biggest intraday gain since January.
The stock was up 3.4% at 1:27 p.m. in London, giving the company a market value of £857 million ($1.1 billion).
Ascential may attract interest from private equity firms, the people said, asking not to be identified because discussing confidential information.
The company is still discussing how to proceed and hasn’t started a formal sale process, the people said.
There’s also no certainty the deliberations will lead to a transaction. A representative for Ascential declined to comment.
Ascential announced plans in January to break itself up by listing its digital commerce assets in the US and keeping its events unit listed in London.
The company also said it would sell WGSN, its business offering paid-for subscriptions and bespoke consultancy services to help companies understand customer trends.
WGSN attracted initial interest from media conglomerate Hearst Communications Inc.
and private equity firms including Apax Partners, Bloomberg News reported in June.
–With assistance from Vinicy Chan.
(Updates shares in third paragraph.)
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