Outcome Capital announced that it had acted as exclusive financial advisor to Opinion Research Corporation (NASDAQ: “ORCI”) in its pending sale to info USA Inc. (Nasdaq: IUSA) for $12.00 per share. The total transaction value including the assumption of debt is approximately $134.3 million.
“This transaction delivers outstanding value for our shareholders and we look forward to joining the info USA family of businesses,” said John Short, Chairman and CEO of Opinion Research Corporation. ” info USA is a recognized global leader in sales and marketing solutions and we are confident that Opinion Research Corporation can make a meaningful contribution to info USA’s continuing growth and success.”
Opinion Research Corporation is a recognized leader in providing market research services to government and corporate clients in North America, Europe, and Asia . The Social Research unit of Opinion Research Corporation, which had a backlog of approximately $274 million as of June 30, 2006, provides research services to agencies of the United States federal government, and state and local governments. The transaction is expected to expand significantly info USA’s existing public sector customer base and drive continued growth in this market.
Opinion Research Corporation’s Commercial Market Research unit provides market research and data management services and marketing and sales support to a diverse base of Fortune 500 corporations. The combination of the Commercial Market Research services and info USA’s direct marketing expertise is expected to result in cross-selling opportunities and the potential for info USA to generate additional sales from existing data products.
info USA will finance the transaction with cash on hand at the time of closing and borrowings under its existing credit facility. info USA expects that the acquisition of Opinion Research Corporation will be accretive to its earnings in fiscal 2007. The transaction, which is expected to close in the fourth quarter of 2006, is subject to customary closing conditions and the approval of Opinion Research Corporation shareholders. Opinion Research Corporation will remain headquartered in Princeton , NJ and will continue to operate independently as part of info USA.
Vin Gupta, Chairman and CEO of info USA, stated, “This is a compelling transaction that fits well with our strategic plan to leverage our existing capabilities and expand our presence in the market research sector. The services provided and clients served by Opinion Research Corporation are highly complementary to info USA’s services and we expect that this transaction will create significant value for info USA shareholders. The transaction will allow our Donnelley Group to offer market research services to its customers and the Opinion Research Corporation team to offer databases and database services to its clients. The acquisition of Opinion Research Corporation is a significant step in info USA’s plan to become a diversified marketing services provider to the corporate and public sectors. info USA pioneered the concept of multi-channel marketing in its marketplace, and with annual revenue of approximately $600 million following the close of the transaction, info USA will have additional scale and resources to continue leading the industry forward.”
About Opinion Research Corporation
Founded in 1938, Opinion Research Corporation provides commercial market research, health and demographic research for government agencies, information services and consulting. The company is a pioneering leader in the science of market and social research and has built an international organization to support market intelligence in both public and commercial markets.
About info USA
info USA (www.infoUSA.com), founded in 1972, is the leading provider of business and consumer information products, database marketing services, data processing services and sales and marketing solutions. Content is the essential ingredient in every marketing program, and info USA has the most comprehensive data in the industry, and is the only company to own a proprietary database of 250 million consumers and 14 million businesses under one roof. The info USA database powers the directory services of the top Internet traffic-generating sites. Nearly 3 million customers use info USA’s products and services to find new customers, grow their sales, and for other direct marketing, telemarketing, customer analysis and credit reference purposes.
Outcome Capital acted as the exclusive investment banker and financial advisor to Opinion Research Corporation in connection with the transaction.