Forbes Announces Termination of SPAC Transaction

Rhea-AI Summary

Forbes Global Media Holdings has announced the termination of its Business Combination Agreement with Magnum Opus Acquisition Limited (NYSE: OPA). The decision comes despite Forbes reporting record revenue and earnings in the previous year and surpassing its business forecasts for 2022. CEO Mike Federle highlighted that the company's digital transformation resulted in double-digit revenue and EBITDA growth, alongside significant cash flow and year-over-year growth driven by their Media and Brand Extensions business.

Positive

• Reported record revenue and earnings from the previous year
• Exceeded 2022 business forecasts outlined in the investor deck
• Achieved double-digit revenue and EBITDA growth over the past year
• Generated high-quality cash flows with year-over-year growth
• Triple-digit revenue growth from consumer conversion strategy over two years

Negative

• Termination of the Business Combination Agreement with Magnum Opus Acquisition Limited (OPA) could indicate instability or uncertainty in strategic partnerships

NEW YORK--(BUSINESS WIRE)-- Forbes Global Media Holdings Inc., the iconic business information brand that convenes and curates the most influential leaders driving change, announced today that its shareholders have terminated the Business Combination Agreement with Magnum Opus Acquisition Limited (NYSE: OPA), a special purpose acquisition company.

Forbes announced record revenue and earnings last year, and has already exceeded the business forecast for 2022 it outlined in its initial investor deck.

“The Forbes brand is a sought-after and trusted brand with more than 100 years of equity that is synonymous with success and validation,” said Mike Federle, CEO, Forbes. “Our digital transformation has delivered double-digit revenue and EBITDA growth over the past year, which not only significantly outperformed the financial targets provided at the start of the SPAC transaction last year but continues to deliver high quality cashflows and compelling year-over-year and sequential growth since then. This is a testament to the incredible team we have assembled at Forbes that is delivering across our Media, and Brand Extensions business, as well as our newer consumer conversion strategy that has shown triple digit revenue growth over the past two years.”

About Forbes

Forbes champions success by celebrating those who have made it, and those who aspire to make it. Forbes convenes and curates the most influential leaders and entrepreneurs who are driving change, transforming business and making a significant impact on the world. The Forbes brand today reaches more than 150 million people worldwide through its trusted journalism, signature LIVE and Forbes Virtual events, custom marketing programs and 47 licensed local editions in 80 countries. Forbes Media’s brand extensions include real estate, education and financial services license agreements.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220601005748/en/

Investors:

ICR

Ashley DeSimone

Ashley.DeSimone@icrinc.com

(646) 677-1827

ICR

Brett Milotte

Brett.Milotte@icrinc.com

(332) 242-4344

Press:

Bill Hankes

bhankes@forbes.com

(206) 883-7658

Source: Forbes

FAQ

What happened with Forbes and Magnum Opus Acquisition Limited (OPA)?

Forbes announced the termination of its Business Combination Agreement with Magnum Opus Acquisition Limited (NYSE: OPA).

What financial performance did Forbes report in the press release?

Forbes reported record revenue and earnings in the previous year and exceeded its business forecasts for 2022.

How has Forbes's digital transformation impacted its growth?

Forbes's digital transformation has led to double-digit revenue and EBITDA growth over the past year.

What revenue growth has Forbes seen from its consumer conversion strategy?

Forbes has experienced triple-digit revenue growth from its consumer conversion strategy over the past two years.