August 26, 2011- The closely held financial information and news provider has agreed in principle to purchase for nearly $990 million The Bureau of National Affairs Inc. (BNA) in order to add regulatory research and tax analysis.
Shareholders for BNA, who are former or current employees, will receive $39.50 per share in cash in the transaction that should be completed before year-end.
Bloomberg wants to expand into different businesses to increase the products in their portfolio and this deal is part of that expansion. Bloomberg has a data hub that executives and traders access and this will add to it. Bloomberg as part of the diversification acquired the Energy Finance and Business Week magazine in 2009 as well.
BNA publishes U.S. Law Week and the Daily Labor Report and Bloomberg’s presence in the Washington area will grow significantly. Therefore, this gives them even more coverage and analysis in health care, employment, intellectual property, accounting and telecommunications sectors.
BNA headquartered in Arlington, Virginia, founded in 1929, has over 350 new services with clients that include accountants, attorneys, government administrators and lobbyists.
The company reported revenues of $331 million for 2010 and has close to 1,500 employees. Included in the 1,500 are over 600 reporters, editors and lawyers that work in the area around Washington D.C.