FACTBOX-Thomson agrees to buy Reuters
LONDON (Reuters) - Canada's Thomson Corp has agreed to buy Reuters Group Plc for about 8.7 billion pounds ($17.20 billion) to create the world's biggest financial news and data company, the two firms said on Tuesday.
Following are key details of the potential deal.
- For each Reuters share, a holder will be entitled to 352.5 pence per share in cash and 0.16 Thomson share.
- The deal would value each Reuters share at 692 pence, based on Monday's closing prices.
- The takeover has the support of the Reuters Founders Share Company, which has the power to block a change of ownership, but the deal still needs regulatory clearance and shareholder approval.
- The firms forecast they would make over $500 million of annual synergies within three years of completion.
- The enlarged, dual-listed group, to be called Thomson-Reuters, will have revenues of more than $11 billion.
- The combined Thomson Financial unit and Reuters financial and media businesses, responsible for 60 percent of revenues, will be called Reuters. The new unit servicing law, tax and science markets, generating 40 percent of revenue, will be called Thomson-Reuters Professional.
- The combined group will adopt the Reuters trust principles aimed at safeguarding the independence of Reuters news. Continued...
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