Exciting developments are underway in the world of trend forecasting as the renowned fashion and beauty trends forecaster, WGSN, enters a new era with its acquisition by the private equity powerhouse, Apax. This strategic move is in line with Ascential’s broader strategy for the managed separation of its business portfolio, as announced earlier this year.
Let’s dive into the specifics. Ascential is set to transfer ownership of WGSN to Wind UK Bidco 3 Limited, a newly established entity advised by funds under Apax Partners LLP. The deal values WGSN at a total enterprise worth of up to £700 million. After accounting for customary closing adjustments, including approximately £61 million in deferred income, the anticipated proceeds from Bidco amount to approximately £572 million, payable upon completion.
Pending the necessary approvals, including those from shareholders, the transaction is expected to conclude in the first quarter of the forthcoming year.
Apax’s exclusive discussions regarding this acquisition began last month, dispelling earlier reports of waning interest. Apax’s faith in the company is evident, as they had previously acquired Emap, the publishing firm that eventually transformed into Ascential, the current publicly listed owner of WGSN. This transaction follows Emap’s earlier purchase of WGSN from its founders.
WGSN’s founders, Julian Worth and the late Marc Worth, originally sold the business for approximately £140 million back in 2005. At the time of its inception seven years earlier, online trend forecasting was in its infancy.
Initially focused on the fashion sector, WGSN has since diversified into various verticals, including beauty, interiors, food, consumer tech, and more.
