Heavily indepted Nielsen plans to raise $2.01 billion through its IPO, according to its latest S-1 filing. This is up from the $1.75M Fusion DigiNet reported in June.
As a result of the 2006 purchase of our Nielsen by a consortium of private equity firms (AlpInvest Partners, The Blackstone Group, The Carlyle Group, Hellman & Friedman, Kohlberg Kravis Roberts & Co. and Thomas H. Lee Partners), Nielsen has incurred a significant amount of indebtedness and have a net tangible book deficit ($8.4 billion and $8.8 billion, respectively, as of June 30, 2010).
They have also have generated net losses since that time ($489 million, $589 million and $354 million for the years ended December 31, 2009, 2008 and 2007, respectively).
Nielsen report that certain of their financial performance metrics have improved significantly between the year ended December 31, 2006 and the year ended December 31, 2009:
- Revenues increased to $4.8 billion, generating a compound annual growth rate of 6.2% on an as reported basis and 5.7% on a constant currency basis;
- Adjusted EBITDA increased to $1.3 billion, generating a compound annual growth rate of 14.3% on an as reported basis and 13.9% on a constant currency basis; and
- Adjusted EBITDA as a percentage of revenue increased to 27.3% from 21.9%.
Nielsen intend to some of the proceeds of the share issue to reduce their indebtedness.
Financial performance summary
- Revenues 2009 – $ 4,808M, 2008 – $ 4,806M, 2007 – $ 4,458M
- Loss from continuing operations before income taxes and equity in net (loss)/income of affiliates 2009 ($603M), 2008 ($271M), 2007 ($354M)
Nielsen is a global information and measurement company that provides clients with a comprehensive understanding of consumers and consumer behavior.
Full details are available here
- Nielsen plans to raise $1.75 billion through an IPO Posted on June 3, 2010
- The Nielsen Company Acquires Video Technology Leader GlanceGuide Posted on June 3, 2010
- Rentrak to acquire Nielsen EDI Posted on December 15, 2009
- e5 Global Media to acquire 8 Nielsen media brands Posted on december 10, 2009
Leave a Reply