Clarivate Analytics To Buy Decision Resources From Piramal For $950 Mln

(RTTNews) - Clarivate Analytics plc (CCC), a provider of trusted insights and analytics, announced Friday that it has signed a definitive agreement to acquire Decision Resources Group or DRG, a provider of high-value data, analytics and insights products and services to the healthcare industry.

The acquisition is for $950 million from Piramal Enterprises Limited, part of global business conglomerate Piramal Group.

The company said the purchase price includes $900 million in cash and approximately $50 million in Clarivate ordinary shares to be issued following the one-year anniversary of closing.

The acquisition is expected to be accretive to Clarivate earnings in 2020.

DRG specializes in enabling pharma, biotech and medical technology companies to achieve commercial success in complex health markets with the creation of effective patient-centric commercial strategies.

The combined business will offer a one-stop shop for Life Sciences customers, helping them to improve the commercialization of life-changing therapies.

Clarivate expects the acquisition to increase its total company revenue by 20 percent, deliver approximately $77 million in annual Adjusted EBITDA before the pursuit of any revenue synergies, and drive DRG's Adjusted EBITDA margins towards Clarivate's total company target of greater than 40 percent.

Further, Clarivate reaffirmed its standalone 2020 financial outlook.