logo
Plus   Neg
Share
Email

SDL To Acquire Donnelley Language Solutions For $77.5 Mln - Quick Facts

SDL plc (SDL.L) announced it has agreed to acquire the business and assets of Donnelley Language Solutions on a cash-free, debt-free basis for a cash consideration of $77.5 million (60.1 million pounds) from Donnelley Financial Solutions Inc. (DFIN).

Donnelley Language Solutions was established in 2002 within R.R. Donnelley. In 2013 DLS became a division of Donnelley Financial Solutions Inc., providing translation, creation and management of content services. Donnelley Financial Solutions Inc.'s business, including DLS, was demerged from R.R Donnelley in 2016. DLS has approximately 400 employees and utilises freelancers and third-party agencies to provide its translation work. It operates from 15 countries across North America, Europe and Asia, including offices in key financial locations including London, New York and Hong Kong. In the year to 31 December 2017, Donnelley Language Solutions delivered approximately 5 percent revenue growth, generating revenues of $71.4 million and adjusted EBITDA of $5.8 million.

SDL proposes that the acquisition will be funded through the drawdown on new debt facilities and a proposed placing of up to 8,234,400 new ordinary shares of 1 pence each in the capital of SDL, representing approximately 10 percent of the existing issued share capital of the company, at a price of 440 pence per share to raise gross proceeds of up to 36.2 million pounds. The placing is being conducted by means of an accelerated bookbuild process.

SDL expects the acquisition and the placing taken together to be earnings enhancing in the first full year of ownership, the year ending 31 December 2019.

For comments and feedback contact: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
MillerCoors LLC has filed a lawsuit against Anheuser-Busch Companies LLC, part of Anheuser-Busch InBev, alleging that Anheuser-Busch's ad campaigns associating MillerCoors' products, Miller Lite and Coor Light, with corn syrup is "false and misleading." During the Super Bowl, ABInBev ran an advertising campaign that mocked Miller Lite and Coors Light use corn syrup in brewing. Shares of Biogen Inc. are falling almost 28 percent in Thursday's trading after the company and Japanese drugmaker Eisai Co. said they will discontinue two late-stage trials for their experimental Alzheimer's drug, Aducanumab. The two Phase 3 trials, ENGAGE and EMERGE, are multi-center, randomized, double-blind, placebo-controlled, parallel-group studies designed to evaluate Aducanumab. The European Union on Wednesday ordered Alphabet Inc.'s Google to pay an antitrust fine of 1.49 billion euros for abusing its dominant position in the online search advertising intermediation market by preventing competition. This is the third antitrust fine by the EU against Google and it represents 1.29 percent of the tech giant's turnover in 2018.
Follow RTT