Buzzword bingo

5 Jan 2017 By Robert Cyran Follow @rob_cyran

The $8 bln IT consultancy is paying $2.6 bln for CEB, a fellow purveyor of advice. Gartner says the combination will cover “all major functions in the enterprise” and help “capture an expanded addressable market.” Investors aren’t convinced the words add up to any real value.

This content is for Subscribers only

Context News

IT research and consulting firm Gartner said on Jan. 5 it had agreed to acquire CEB for approximately $2.6 billion in cash and stock. It will pay $54 in cash and 0.2284 shares of Gartner for each share of CEB, which offers research and analysis relating to human resources, sales, finance and law. The deal consideration amounts to an approximately 25 percent premium to where CEB shares closed on Jan. 4. Following the transaction, Gartner shareholders will own about 91 percent of the combined company.

Among other things, Gartner is known for its so-called Magic Quadrant analysis of the players in various technology sectors.

At 10.23 a.m. ET, Gartner shares were down about 7 percent.

Email a friend

Please complete the form below.

Required fields *