Bulletin
Investor Alert

Market Pulse Archives

Nov. 30, 2020, 6:14 a.m. EST

IHS Markit's stock surges after S&P Global buyout deal valuing company at $44 billion

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    IHS Markit Ltd. (INFO)
  • X
    S&P Global Inc. (SPGI)
  • X
    S&P 500 Index (SPX)

or Cancel Already have a watchlist? Log In

By Tomi Kilgore

Shares of IHS Markit Ltd. /zigman2/quotes/210124395/composite INFO +1.92% rallied 5.9% in premarket trading Monday, after the information and analytics company announced an agreement to be acquired by S&P Global Inc. /zigman2/quotes/208931849/composite SPGI -0.08% in an all-stock deal that values IHS at about $44 billion, including $4.8 billion in debt. Under financial terms of the deal, S&P Global will exchange 0.2838 shares of its stock for each IHS share outstanding. Based on Friday's stock closing prices, that values IHS shares at $96.94 each, a 4.7% premium. The companies expect annual cost synergies of $480 million, and S&P Global expects the deal to add to earnings by the end of the second full-year after the merger, which is expected to close in the second half of 2021. "This merger increases scale while rounding out our combined capabilities, and accelerates and amplifies our ability to deliver customers the essential intelligence needed to make decisions with conviction," said S&P Global Chief Executive Douglas Peterson. IHS's stock has rallied 22.9% year to date through Friday and S&P Global shares have climbed 25.1%, while the S&P 500 /zigman2/quotes/210599714/realtime SPX -0.72% has gained 12.6%.

/zigman2/quotes/210124395/composite
US : U.S.: NYSE
$ 85.51
+1.61 +1.92%
Volume: 4.33M
Jan. 15, 2021 4:00p
P/E Ratio
39.49
Dividend Yield
0.94%
Market Cap
$33.90 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/208931849/composite
US : U.S.: NYSE
$ 305.95
-0.23 -0.08%
Volume: 2.70M
Jan. 15, 2021 4:00p
P/E Ratio
30.64
Dividend Yield
0.88%
Market Cap
$73.61 billion
Rev. per Employee
$297,733
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
3,768.25
-27.29 -0.72%
Volume: 2.74B
Jan. 15, 2021 5:18p
loading...

This Story has 0 Comments
Be the first to comment
More News In
Industries

Story Conversation

Commenting FAQs »
Link to MarketWatch's Slice.