Pearson Response to Apollo Statement

Pearson notes today’s announcement from Apollo that it is no longer evaluating a possible cash offer for the Company and that it is consequently bound by the restrictions under Rule 2.8 of the City Code of Takeovers and Mergers.

The Board of Pearson confirms that, on 28 March 2022, it received a third proposal from Apollo regarding a possible cash offer for the entire issued and to be issued share capital of the Company at 870 pence per share (the “Proposal Price”). Under Apollo’s proposal, eligible Pearson shareholders would also be entitled to receive the previously announced FY 2021 dividend of 14.2 pence per share which, when taken together with the Proposal Price, represents a total value of 884.2 pence per share (the “Third Proposal”).

The Third Proposal followed two previous proposals from Apollo which were unanimously rejected by the Board of Pearson, as detailed in Pearson’s 11 March 2022 announcement.

The Board of Pearson considered the Third Proposal, together with its financial and legal advisers, and concluded that it significantly undervalued the Company and its future prospects. Accordingly, the Board of Pearson unanimously rejected the Third Proposal.

Pearson’s Board is confident that the direct to consumer, lifelong learning strategy set out by Management in March 2021 will create sustainable, long-term value for Pearson stakeholders. Since becoming Chief Executive, Andy Bird has reorganised and refocused Pearson, successfully launching Pearson+ in July 2021, representing an exciting future for Pearson, with plans in place for engaging more consumers and growing beyond higher education. Pearson is creating the premier digital learning ecosystem for life – a connected consumer and commercial strategy relevant for consumers everywhere, providing a growing global addressable market.

The Company’s Full Year 2021 results in February 2022 demonstrated building momentum as Pearson continues to execute on this new strategic vision. Today, Pearson is a digital first business, with consumer grade products, and the strong progress being seen across the business supports the Company’s outlook for further growth in 2022 and beyond.
https://otp.tools.investis.com/clients/uk/pearson1/rns/regulatory-story.aspx?cid=1433&newsid=1568724

Related Posts

Why print can be child’s play

While the rise of digital has led many publishers to reduce their print offering, Dennis Publishing has continued to invest. Kerin O’Connor, chief executive of The Week at Dennis, explains how it’s found success with a print version of The Week for children – and what it can teach the industry about the future of print… Jon Watkins spoke to him ahead of the 41st FIPP World Congress, taking place from 9-11 October where Kerin will be among 100 speakers from around the world sharing insights on a variety of industry and related topics. Join the conversation at the Congress. Tell us about the drivers behind the launch of The Week Junior – how much of it was that you’d seen an opportunity in the market and how much was it driven by the desire to help kids engage with issues? So, the best place to start was by looking at the success we’d had with The Week. One of the things that we’ve done, particularly over the last 10 years, was to build a suite of products that are designed to help people in their lives by providing expert opinion. Through those, there are four things that we do. We inform, we advise, we indulge, and we distil content. Our audiences are clever people who appreciate expert opinion that allows them to make up their own minds. Click Read More below for more of the story.

USPS Bail Out Could Hike Postal Rates 41% in Next Five Years

The Postal Regulatory Commission is proposing that publishers’ postal rates increase by an estimated average of 34% to 41% over the next five years. The postage increases would be lower than average for magazines that use co-mail and higher than average for less efficient mailers. The PRC announced its proposal to bail out the U.S. Postal Service with future rate hikes late Friday. The vote on a final version seems likely to occur in spring of 2018, giving mailers, the USPS, and other interested parties time to comment. The PRC’s 10th-anniversary review of the Postal Accountability and Enhancement Act (PAEA) concluded that the postal-reform legislation had met some of its goals – but not the one calling for stabilization of the Postal Service’s finances. As a result, the commissioners concluded, they must override the law’s inflation-based cap on most postal rates. Many mailers’ groups disagree with the PRC’s interpretation of the law, saying the agency must have Congress’s explicit approval to breach the price cap. A legal challenge to the PRC’s final plan seems likely, which could delay implementation until 2019. Click Read More below for additional information.

Gannett | USA TODAY NETWORK Realigns Organization to Strengthen Focus on Marketing Solutions and Consumer Businesses

Gannett | USA TODAY NETWORK announced a major organizational change that more definitively aligns with the company’s refreshed business strategy, which focuses on two primary businesses: Marketing Solutions and Consumer. “These organizational changes will better position us to further enhance and expand our marketing solutions capabilities fueled by our audience growth and engagement. I am confident this new structure will open up opportunities, enable us to innovate more quickly and support long-term growth,” said Bob Dickey, president and CEO of Gannett. Two executives have been named to lead the company’s two primary businesses: Leading marketing solutions will be Sharon Rowlands, CEO of ReachLocal, who has been named president, USA TODAY NETWORK Marketing Solutions. Rowlands will focus on further strengthening and growing our business-to-business segment, leveraging not only ReachLocal and SweetIQ, but also USA TODAY NETWORK’s powerful media assets and national and local brands. Leading the consumer business will be Maribel Perez Wadsworth, current chief transformation officer, who has been named president, USA TODAY NETWORK. Wadsworth will lead USA TODAY NETWORK’s consumer business to include strategy and operations for the company’s award-winning portfolio of media brands such as USA TODAY, more than 100 local news and niche content brands such as For The Win (FTW) and Grateful. In addition, she will become associate publisher of USA TODAY, as part of the transition associated with John Zidich’s previously announced retirement as president of Domestic Publishing. Click Read More below for additional information.
Back To Top
×Close search
Search