Blackstone acquires NEC from LDC

Kenny Wastell and Christopher Papadopoullos
15 October 2018

Tweet
Facebook
LinkedIn
Google plus
Send to

Blackstone has acquired UK-based exhibitions organiser the National Exhibition Centre Group (NEC) from LDC.

Financial details of the transaction remain undisclosed, though Sky News last week reported the deal will value the company at a little more than £800m. The business generated EBITDA of £54.7m from revenues of £162.1m in the year ending in March 2018.

Since LDC's investment, NEC has secured new partnerships including Resorts World Birmingham, a £150m leisure and entertainment complex at the main NEC site operated by Genting; and several new visitor attractions with Merlin Entertainments, including The Bear Grylls Adventure at NEC and Legoland Discovery Centre at Arena Birmingham.

New exhibitions hosted for the first time have included This Morning Live, The Fit Show and Collectormania, as well as Dinosaurs in the Wild – its first long-stay event. The firm's growth has been supported by capex of £48m over the last three financial years.

The transaction comes a year after Blackstone acquired London-based events organiser Clarion from Providence Equity Partners.

Previous funding
LDC acquired NEC from Birmingham City Council in 2015 in a deal that valued the business at £307m.

Company
Founded in 1976, NEC operates five venues in Birmingham, including the National Exhibition Centre, which plays host to Crufts and the BBC Good Food Show.

People
Blackstone – Lionel Assant (European head of private equity).
National Exhibition Centre Group – Paul Thandi (CEO).

Advisers
Vendor – Bank of America Merrill Lynch (corporate finance).
Equity – Moelis & Company (corporate finance).