Truelink Capital and Viad Close Transaction to Establish GES as Independent Business

Rhea-AI Summary

Truelink Capital has completed the acquisition of GES from Viad Corp (VVI), establishing GES as an independent company. GES, a 90-year-old global leader in exhibition and event solutions, will continue under the leadership of Derek Linde as President & CEO. The company employs over 2,600 team members across North America, Europe, and Asia, providing comprehensive services in strategy, creative design, logistics, and event production.

The company serves various industries including healthcare, aerospace & defense, automotive, technology, and retail, offering support for both live and virtual events. This marks Truelink Capital's sixth acquisition, though financial terms were not disclosed.

Positive

• GES will operate independently, potentially allowing for more focused business strategy
• Retention of current leadership ensures operational continuity
• Strategic expansion opportunities through Truelink's investment commitment
• Global presence with 2,600 employees across three continents

Negative

• Financial terms not disclosed, creating uncertainty for VVI shareholders
• Divestiture impact on Viad's (VVI) future revenue streams unclear

Insights

M&A Specialist

The divestiture of GES by Viad Corp (VVI) represents a strategic shift that will allow Viad to streamline its operations and focus on its Pursuit hospitality segment. While financial terms weren't disclosed, this transaction is particularly noteworthy given GES's scale with over 2,600 employees across three continents.

The acquisition by Truelink Capital, marking their sixth portfolio company, positions GES for potential operational improvements and strategic acquisitions under private equity ownership. The involvement of multiple tier-1 financial advisors (BrightTower, Baird and Moelis) suggests this was a competitive sale process, likely yielding favorable terms for Viad shareholders.

For Viad investors, this divestiture should improve the company's financial profile by reducing operational complexity and potentially strengthening the balance sheet. The hospitality-focused Pursuit segment typically commands higher margins and offers better growth prospects in the current market environment.

Corporate Strategy Analyst

This transaction marks a pivotal moment in Viad's corporate evolution, transforming it from a diversified services company into a pure-play experiential hospitality operator through Pursuit. The timing is strategic, capitalizing on the strong recovery in the events industry while allowing GES to scale independently under private equity ownership.

The retention of GES's current leadership team under Derek Linde suggests operational continuity, while Truelink's stated focus on strategic acquisitions indicates a growth-oriented approach that could benefit both entities. For Viad shareholders, this creates a clearer investment thesis focused on high-margin hospitality assets, potentially leading to improved valuation multiples as the market better understands the simplified business model.

LOS ANGELES and LAS VEGAS, Dec. 31, 2024 /PRNewswire/ -- Truelink Capital today announced that it has closed the transaction to acquire GES, a leading provider in the global exhibition and event industry. Financial terms were not disclosed.

"We are excited to officially begin our partnership with GES, a leader in the exhibition and event industry, and to build on its strong foundation," said Luke Myers, Co-Founder and Managing Partner of Truelink Capital. "Together with GES' exceptional leadership team, we will continue to invest in its core strengths in creative design, logistics and event management, pursue growth through strategic acquisitions, and expand its agency presence. We are grateful to Viad for their support during this transitional period, which has been instrumental in setting the stage for GES' next chapter of success."

GES, founded over 90 years ago, has built an exceptional reputation for delivering world-class exhibition, event, and brand activation solutions on a global scale, and will now operate as an independent company. Derek Linde, its current President, will continue to lead the business as President & CEO.

"We are thrilled to take the next step to become a standalone company," said Derek Linde. "Together with Truelink's stewardship, we will excel in delivering extraordinary event experiences for our clients across the globe.

With over 2,600 talented team members across North America, Europe, and Asia, GES provides comprehensive services that span strategy, creative design, logistics, and event production, enabling clients to deliver transformative experiences. The company's innovative solutions cater to a wide array of industries, including healthcare, aerospace & defense, automotive, technology, and retail, offering end-to-end support for both live and virtual events. In addition to its core services, GES has successfully expanded into adjacent verticals, becoming a trusted partner for associations, exhibitors, and agencies in the dynamic world of brand activation. Its leadership in this segment is supported by its ability to build long-lasting relationships with clients and partners alike.

This transaction marks the sixth acquisition for Truelink Capital, a middle-market private equity firm focused on creating long-term value by partnering with industry-leading companies. The firm has a successful track record of operationally focused investments in the industrials and tech-enabled services sectors.

BrightTower and Baird served as financial advisors and Kirkland & Ellis served as legal advisors to Truelink Capital for the transaction. Moelis & Company LLC served as the financial advisor and Latham & Watkins LLP served as legal advisor to Viad Corp. for the transaction.

ABOUT TRUELINK CAPITAL
Truelink Capital is a middle-market private equity firm based in Los Angeles. Truelink pairs deep industry experience in the industrials and technology-enabled services sectors with a commitment to building partnerships that drive long-term value through an operationally focused strategy. Truelink partners with management, corporate sellers, and founders to accelerate growth through the execution of strategic initiatives and transformative add-on acquisitions. Truelink is investing out of Truelink Capital Fund I, a $950 million fund.

ABOUT VIAD CORP
Viad (NYSE: VVI) historically operated through two businesses: GES and Pursuit. GES is a global, full-service provider for live events, offering a range of services from creative design and strategy to event production and logistics. GES serves a wide variety of clients, including major associations, exhibitors, and corporations, delivering impactful experiences that engage audiences and drive brand growth. Pursuit is an attractions and hospitality company that owns and operates a collection of inspiring and unforgettable experiences in iconic destinations in the United States, Canada, and Iceland that enable visitors to discover and connect with stunning national parks and renowned global travel locations.

For more information, visit www.viad.com.

Media Contacts:

Truelink Capital
Peter Schultz
pschultz@truelinkcap.com

 

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SOURCE Truelink Capital

FAQ

What impact will the GES acquisition have on Viad Corp (VVI) stock?

The impact on VVI stock is uncertain as financial terms were not disclosed, though the sale will affect Viad's revenue structure as GES becomes independent under Truelink Capital.

How many employees does GES have after the Truelink Capital acquisition?

GES maintains a workforce of over 2,600 team members across North America, Europe, and Asia following the acquisition.

What industries does GES serve after becoming independent from Viad (VVI)?

GES serves multiple industries including healthcare, aerospace & defense, automotive, technology, and retail, providing both live and virtual event solutions.

Who will lead GES following its separation from Viad Corp (VVI)?

Derek Linde will continue to lead GES as President & CEO following the separation from Viad Corp.

What services will GES provide as an independent company from Viad (VVI)?

GES will continue providing comprehensive services including strategy, creative design, logistics, and event production for both live and virtual events.