Blackstone is now searching for buyers interested in acquiring Clarion Events, a leading privately held event and exhibition business. The sudden announcement drew significant attention from industry experts, with some believing it could set off more high-profile sales. As for Clarion, the company’s future remains uncertain despite its substantial post-pandemic recovery, as political headwinds and economic volatility pose immediate challenges.
Clarion Has Proven Historically Resilient
According to a recent Reuters report, Blackstone, which acquired Clarion in 2017 for around £600 million ($805 million), is distributing information memoranda to potential buyers. Top international private equity players like KKR, CVC, Ardian, and PAI Partners have reportedly expressed interest in acquiring the company. Asian market leader Hillhouse Investment is also allegedly eyeing a potential acquisition due to Clarion’s robust market presence in China.
Clarion Events, based in London, operates more than 125 exhibitions and media brands in sectors like defense, energy transition, gaming, and consumer technology. The company posted £432.9 million ($580.8 million) in revenue last year, bolstered by the gradual revival of event activity in Asia, particularly China and Hong Kong.
Clarion, which employs roughly 2,000 staff in 12 countries, rode out the pandemic thanks to Blackstone’s backing, enduring a complete shutdown of the global events industry. According to recent internal reviews, the company has since fully rebounded and even exceeded revenue projections, positioning it as one of the undisputed global leaders in this space.
Shifting Market Dynamics Could Deter Some Potential Buyers
Blackstone reportedly values Clarion at roughly £2 billion ($2.68 billion), implying a price of around 12 times EBITDA. While this sum is high, Blackstone is reportedly confident that Clarion’s consistent financial performance, history of success, and global presence will be sufficient to attract potential buyers. However, a sale is by no means certain.
Market volatility, global political headwinds, and a sluggish recovery in corporate travel remain immediate challenges for Clarion. Industry insiders note that Blackstone has been particularly wary of shifts in global demand, particularly in Europe, and could reevaluate its broader investment strategy in the region. The equity firm also faces rising pressure to return capital to investors after an extended lull in exits.
While Clarion’s model remains vulnerable to external shocks, the company has taken measures to mitigate some of the risks by streamlining operations and digitally extending its flagship events. As of the writing of this article, there have not been any formal acquisition offers, with all likely bidders refusing to comment. However, Clarion’s stable performance and modernization efforts mean the company remains a valuable asset.