Wolters Kluwer today announced that it is exploring strategic alternatives for Corsearch, its trademark solutions business which is part of the Governance, Risk & Compliance (GRC) division. The strategic alternatives to be considered include a potential divestment of the business.
Wolters Kluwer to explore strategic alternatives for Corsearch
Corsearch is a recognized leader in trademark establishment and brand protection services, providing innovative solutions to trademark and brand professionals and general counsels around the world. In 2016, Corsearch had revenues of approximately €50 million. The unit has delivered compound annual organic growth in mid-single digits over the period 2014-2016 and has had a strong start to 2017, driven by its customer-centric approach and continuous development of advanced products and services.
The brand management industry is attractive, evolving from traditional trademark services to end-to-end digital brand management solutions. This evolution creates new growth and investment opportunities for Corsearch.
Wolters Kluwer Governance, Risk & Compliance is sharpening its strategic focus and prioritizing investment on compliance and risk management solutions for professionals in corporations, financial institutions, and law firms.
Wolters Kluwer has retained Evercore as financial advisor to assist in its review of strategic alternatives for Corsearch. There can be no assurance that this review will result in a transaction.
Should the outcome be a divestment of the business, Wolters Kluwer intends to mitigate the expected dilution to adjusted earnings per share through share buybacks.
Wolters Kluwer (WKL) is a global leader in professional information, software solutions, and services for the health, tax & accounting, governance, risk & compliance, and legal & regulatory sectors. We help our customers make critical decisions every day by providing expert solutions that combine deep domain knowledge with specialized technology and services.
This report contains forward-looking statements. These statements may be identified by words such as “expect”, “should”, “could”, “shall” and similar expressions. Wolters Kluwer cautions that such forward-looking statements are qualified by certain risks and uncertainties that could cause actual results and events to differ materially from what is contemplated by the forward-looking statements. Factors which could cause actual results to differ from these forward-looking statements may include, without limitation, general economic conditions; conditions in the markets in which Wolters Kluwer is engaged; behavior of customers, suppliers, and competitors; technological developments; the implementation and execution of new ICT systems or outsourcing; and legal, tax, and regulatory rules affecting Wolters Kluwer’s businesses, as well as risks related to mergers, acquisitions, and divestments. In addition, financial risks such as currency movements, interest rate fluctuations, liquidity, and credit risks could influence future results. The foregoing list of factors should not be construed as exhaustive. Wolters Kluwer disclaims any intention or obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
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