LONDON, March 7 (Reuters) – A consortium of investors including Blackstone (BX.N) and Thomson Reuters (TRI.TO), Reuters News’ parent company, is selling £1.7 billion ($2.01) worth of shares billion US dollars) of the London Stock Exchange Group (LSEG.L) to cut their joint stake.
Investment banks managing the sale of 23 million LSEG shares had orders for all of the shares in the offering, according to bookrunner reports obtained by Reuters after market close on Tuesday.
The deal follows the release of LSEG’s 2022 results last week, which showed total revenue rising to £7.74 billion from £6.54 billion last year, beating analysts’ expectations.
Separately, the exchange operator plans to buy back up to £750m worth of shares from the Blackstone-Thomson Reuters consortium by April 2024.
US tech giant Microsoft (MSFT.O) had previously agreed to acquire a 4% stake in the consortium in December as part of a broader strategic partnership with LSEG.
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Blackstone and Thomson Reuters have been shareholders in LSEG since they sold financial data provider Refinitiv to the British group in a landmark $27 billion deal in 2021.
Following the recent sale of shares, the consortium will not be able to sell any further shares for a period of 90 days, according to a term sheet from the bank.
Barclays, Citi, Goldman Sachs and Morgan Stanley are joint global coordinators of the transaction, with Blackstone’s proprietary capital markets division acting as co-lead manager.
($1 = 0.8437 pounds)
Reporting by Pablo Mayo Cerqueiro; Edited by Elisa Martinuzzi and Howard Goller
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