Canadian private equity firm Onex Corporation and Baring Private Equity Asia have agreed to acquire the Intellectual Property & Science business (IP&S) from Thomson Reuters for US$3.55 billion, says a company announcement.
The transaction is expected to be funded with an equity investment of approximately US$1.6 billion for 100% ownership of IP&S.
Onex will contribute US$1.2 billion equity investment via Onex Partners IV and some limited partners as co-investors.
"Already an established leader in China and across the region, we believe the outlook for the business is underpinned by an increasing shift towards more knowledge driven economies and a continued emphasis on research and development," says Jean Eric Salata, founder and chief executive of Baring Asia.
The transaction is expected to close later this year subject to closing conditions and regulatory approvals.
Thomson Reuters’s Intellectual Property & Science business provides intellectual property and scientific information, decision support tools and services.
Its portfolio includes Web of Science, Thomson CompuMark, Thomson Innovation, MarkMonitor, Cortellis and Thomson IP Manager.
Headquartered in Philadelphia, IP&S employs approximately 4,100 people across more than 75 offices in over 40 countries.
Onex, with offices in Toronto, New York, New Jersey and London, has approximately US$23 billion of assets under management, including US$6 billion of Onex proprietary capital in private equity and credit securities.