Rimini-based Italian Exhibition Group (IEG) has announced it has reached a binding agreement to buy 100% of the shares of UAE-based event organiser HBG Events FZ, for a guaranteed initial US$1.1m plus an earn-out linked to the next two editions of HBG’s Dubai Muscle Show and Dubai Active events.
IEG says the deal has been financed out of its own liquid reserves.
The company was assisted in the transaction by Baker McKenzie and the deed of transfer of shares is scheduled for September 2020.
The Middle East’s largest fitness events, the co-located events Dubai Muscle Show and Dubai Active, have been organised by HBG since 2016 and are next scheduled to run in 14-16 January 2021 at the Dubai World Trade Centre.
IEG, which runs a portfolio of 48 shows and 190 conferences. says the acquisition is part of the internationalisation and development strategy of its Wellness, Sport & Leisure products, a sector where IEG is particularly strong in Italy with its Rimini Wellness event.
HBG earned revenues of 6.1m dirham (US$1.66m) in 2019.
In 2018-19, IEG declared net profits of €12.6m on revenues of €179m.