LONDON - General Atlantic Service Company LP (General Atlantic) has reached an agreement to acquire Learning Technologies Group plc (LTG), a leader in the digital learning and talent development market. The acquisition is to be carried out by Leopard UK Bidco Limited, a company formed for this purpose, owned by funds managed by General Atlantic and affiliates.
Under the terms of the acquisition, LTG shareholders will receive 100 pence in cash for each LTG share, valuing the company at approximately £802.4 million on a fully diluted basis. This represents a premium of 34% over the closing price on September 26, 2024, the last business day before the offer period began.
The cash offer is a 9.4 times multiple of LTG's adjusted EBIT of £88.7 million for the year ended December 31, 2023. Eligible shareholders may also choose to receive alternative rollover securities instead of cash, though these securities will not be listed.
General Atlantic, a firm with a significant history in technology investments, believes LTG is well-positioned to maintain and improve its market standing with the right investment and portfolio optimization. The acquisition is also seen as a strategic move in light of the evolving market, including the impact of AI on the industry.
The independent directors of LTG, advised by Goldman Sachs and Deutsche Numis, have deemed the cash offer fair and reasonable and intend to unanimously recommend that LTG shareholders accept the offer. The directors holding shares have already committed to voting in favor of the scheme.
The acquisition is subject to the approval of LTG shareholders and the satisfaction of certain antitrust and foreign direct investment approvals. It is expected to be completed in the first quarter of 2025.
Andrew Brode, Chair of LTG, and Simon Boddie, Senior Independent (LON:IOG) Director of LTG, both commented positively on the acquisition, acknowledging the value it represents for shareholders and the future prospects of the company. Gil Badart, Principal at General Atlantic, expressed enthusiasm for the partnership and the opportunity to support LTG's growth ambitions.
This article is based on a press release statement.
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