Euromoney shrugs off stake sale reports
Euromoney (ERM) £12.84
Gain to date: 9.6%
Original entry point: Buy at £11.72, 20 December 2018
Daily Mail & General Trust (DMGT) has confirmed that it is reviewing the future of its 49% stake in publisher and data services business Euromoney (ERM). The latter company, one of our key selections for 2019, has dipped a little from its recent highs above £13 but remains in positive territory for the year to date.
DMGT says it is weighing up its options but confirms it is not currently in discussions over a sale of the shares.
On 14 February Euromoney completed the acquisitions of BoardEx and TheDeal for a combined $87.3m, first announced in December. These deals fit neatly with the strategy of shifting towards data-led subscription-based services which is a big reason why we are fans of the investment case.
A trading update on 1 February suggested the asset management-based division continues to struggle but this is being offset by the higher quality pricing, data and intelligence division. The company will announce its first half results on 16 May.