Reed International PLC and Elsevier NV said yesterday that shareholders of both companies have approved their merger.
London-based Reed, the parent of Daily Variety and Variety, and Amsterdam-based Elsevier announced Sept. 17 that they had agreed in principle to merge.
Terms of the deal were finalized earlier this month, and all approvals have been received. Yesterday’s votes were the final hurdles to be cleared before the merger becomes effective Jan. 1.
Reed and Elsevier will continue to be traded, respectively, on the London and Amsterdam stock exchanges. Each will own half of a merged operating company that will be one of the largest publishing and information firms in the world, with combined revenues of about $ 4.3 billion and pre-tax profits of about $ 760 million.
Under final terms of the deal, Reed will hold a cross-ownership stake in Elsevier of just under 6%.