TechTarget shares experienced an 11% surge in after-market trade, reaching $39, as a result of their agreement with Informa to merge. This merger aims to establish a powerful global platform that offers data and market access to users.
Over the past 12 months, the stock had experienced a downward trend, declining approximately 23%. However, this new partnership is expected to bring about positive changes for TechTarget shareholders. They are set to receive $11.79 per share in the deal and will also maintain a significant 43% equity stake in the newly formed combined company.
During the merger, Informa will contribute its Informa Tech digital businesses and assume ownership of the remaining portion of the merged entity. Informa has been actively expanding its B2B portfolio in the foodservice industry. As part of this strategy, the company acquired Winsight, a specialized business-to-business event, data, and media group, for $380 million last year.
The collaboration between TechTarget and Informa is expected to propel both companies forward, enabling them to offer enhanced services and solutions to their customers in the ever-evolving market.