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Blackstone-owned trade show group Clarion Events is planning an acquisition spree to capitalise on booming post-pandemic demand for conferences in sectors ranging from defence to firefighting.
The UK-based company, whose private equity owner is evaluating its sale next year, holds the rights to events including the Caravan and Motorhome Show, the Baby Show and the Defence and Security Equipment International fair — a major arms industry exhibition.
Chief executive Lisa Hannant said the group was targeting conferences in high-growth sectors undergoing major transformation, such as consumer electronics, energy and defence, following a return to in-person gatherings after the Covid-19 crisis.
It is aiming to double revenues and operating profit by 2030 by acquiring two to three event companies every year.
“We learned during the pandemic how much people missed face-to-face [events],” Hannant told the Financial Times, “which is why we’ve seen a big bounce back in our industry.”
Clarion is stepping up its acquisition plans as Blackstone prepares to sell it, having bought the business in a £600mn deal in 2017. Hannant said the US investment group was working with Goldman Sachs to handle an auction, potentially within the next 12 months. The sale process is set to kick off during the first quarter of 2025, according to a person familiar with the matter. Blackstone declined to comment.
After stuttering to a halt during the pandemic, corporate events have since rebounded strongly, with revenues from the industry set to rise by 17 per cent this year to a new record according to a survey by the Global Association of the Exhibition Industry.
Blackstone invested £150mn in Clarion during the pandemic, and helped it acquire groups like US-based Quartz, increasing the number of summits and forums it offers.
Clarion has historically hunted for “small and niche shows” to grow its business, Hannant said, but was now setting its sights on “shows with a much bigger scale”, particularly in the US. It acquired US renewable energy events organiser Infocast in October, and bought Eaton Hall, which specialises in face-to-face meetings-based forums, in November.
Dealmaking has recently picked up in the sector, with UK-listed Informa, the world’s largest business events provider, in October completing a £1.2bn takeover deal with Ascential, owner of the Cannes Lions advertising festival. Smaller peer CloserStill Media last year acquired UK-based UKi Media & Events, an events and media business serving sectors including aerospace transport and infrastructure.
Clarion reported £433mn in revenues for the year to the end of January, up 68 per cent year on year. It swung to an operating profit of £71mn, from a £50mn loss in the previous 12 months, boosted by the return of events in China and Hong Kong.
It is expecting revenues to top £450mn in its current financial year.
Hannant said events were crucial to small- and medium-sized enterprises, most of which did not have access to big research and development funds. “Coming to trade shows, exhibitions and conferences where they can learn is one of the most highly rated routes to market that they are using,” she said.
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