Credit Suisse last week launched syndication of financing to back the acquisition of eight trade shows and one magazine from Reed Elsevier by Canon Communications, an Apprise Media company. The deal consists of a $120 million term loan "B" and a $48 million second-lien term loan. Pricing is LIBOR plus 3% on the "B" loan and LIBOR plus 6 3/4% on the second lien.
Dan Koskovich, cfo, said the company bought the trade shows and magazine during an auction led by Jordan, Edminston. He said the financing is just an add-on, so it used Credit Suisse, which had led a financing for the company last year. The previous financing consisted of a first and second lien, but tranche sizes could not be determined.
The acquisition will expand Canon's events serving the Southeast and New England areas, according to a company release. Some of trade shows to be acquired include: Assembly Technology Expo, National Manufacturing Week, International Powder & Bulk Solids and Quality Expo.
Cannon Communications was acquired by Apprise, a niche media company backed by Spectrum Equity Investors in May 2005. Apprise acquired Cannon from Veronis Suhler Stevenson, a private equity fund. Based in Los Angeles, Cannon Communications produces trade shows, magazines and online sites. Among magazines it publishes are: Compliance Engineering, IMM Almanac and Medical Device and Diagnostic Industry. A call to a spokesman for Apprise was not returned by press time; a representative for Reed Elsevier could not be reached.