Ascential, a UK-based analytics company, is set to part ways with its digital commerce and product design sectors for an impressive $1.7 billion.

This UK-based analytics and information firm. Ascential The company has today confirmed its plans to divest its digital commerce unit to a publicly-listed American firm. Omnicom Group Additionally, its product design division will be sold to Wind UK Bidco 3 Limited, a new entity formed by investment funds managed by advisors. Apax Partners LLP This transaction awaits approval from shareholders.

The company has reported that the sale of both divisions will bring in a total enterprise value of £1.4 billion (approximately $1.7 billion), as it aims to concentrate on boosting its events sector.

The digital commerce aspect is being sold for an enterprise value of $900 million, while the consumer research unit, known as WGSN, has a projected selling price of up to £700 million.

Once these transactions are finalized, the firm plans to return about £850 million to its shareholders.

Scott Forbes, Chairman of Ascential, expressed that the board is confident these sales of the Digital Commerce unit and WGSN offer exceptional value to shareholders, including a substantial portion of the proceeds being returned.

He also pointed out that these strategic moves will help the company meet its goals during the review period, better aligning the investment potential of Ascential's three business arms while enhancing their growth strategies.

Company’s CEO to join Omnicom

In addition, Ascential has shared that its CEO, Duncan Painter, will be moving to Omnicom, where he will lead Flywheel Digital, a new division responsible for overseeing the digital commerce operations.

This follows Ascential's recent announcement regarding Philip Thomas, currently at the helm of its intelligence and events sectors, being appointed as the next CEO of the group.

Duncan Painter expressed joy over finding suitable new owners for both Digital Commerce and WGSN, believing it will allow them to pursue their growth trajectories effectively.

The synergy of Omnicom’s and Digital Commerce’s technology and data capabilities, combined with their strong client networks, is expected to significantly advance Digital Commerce’s strategic objectives. Similarly, WGSN is poised for an exciting new phase of expansion under fresh ownership.

Duncan Painter noted that Ascential's ongoing operations with its prestigious Events brands are well-positioned to thrive as an independent UK-listed entity.

The recent sale of WGSN is a pivotal part of the restructuring strategy introduced back in January, which initially outlined plans for separating and listing its digital commerce assets in the United States.

Moreover, the company revealed that the media management firm has begun to sell its Hudson business, where Ascential holds a 36.5% stake. Ascential's statement confirmed Omnicom's involvement in this process, though further details were not disclosed. Hudson MX Please remember, the information on this page is not intended to serve as legal, tax, investment, financial, or any type of advice. It's crucial to invest only what you can afford to lose and to seek independent advice if you have any uncertainties. For additional information, please review the terms and conditions along with the help resources offered by the issuer or advertiser. MetaversePost strives to provide accurate and impartial reports, but market circumstances can change without any prior notice.