NEWS15 January 2019

Clarivate Analytics merges with Churchill

Data analytics M&A News North America

US – Insight and analytics company Clarivate Analytics is merging with Churchill Capital Corp, in an agreement that will see Clarivate publicly listed on the New York Stock Exchange.

The transaction implies an initial purchase value of approximately $4.2bn.

Clarivate’s management team, led by chief executive Jay Nadler and chief financial officer Richard Hanks, will continue to lead the business, while Churchill’s chief executive Jerre Stead will become executive chairman of the new combined company.

Clarivate offers subscription services focused on scientific and academic research, life sciences, patent research and intelligence, industry standards and intellectual property management. The company’s brands include Web of Science, Cortellis, Derwent, CompuMark, MarkMonitor and Techstreet.

Onex and Baring Private Equity Asia (BPEA), who acquired Clarivate from Thomson Reuters in 2016, will retain 100% of their equity, alongside Clarivate management. Onex will continue to be the majority owner.

Stead said: “Clarivate has a superior set of data assets, valuable customer relationships and extraordinary people. I look forward to working with Clarivate’s management team to accelerate growth in organic revenue, EBITDA and free cash flow over time.”

Nadler said the merger would “open a wide range of future growth opportunities for the business and allow us to further invest in the brightest minds, game changing data science, and robust technologies,” adding: “Jerre is a veteran of the industry and his insights will be invaluable as we enter our next phase of growth.”

The transaction is expected to complete during the second quarter of 2019, subject to stakeholder approval and closing conditions.