dmg Completes GLM Buyout; Exits Consumer Biz
By Staff -- Gifts & Decorative Accessories, 9/24/2007 12:11:00 PM
Larkspur, CA -- dmg World Media today acquired the remaining 51 percent stake to take full ownership of White Plains, NY-based George Little Management LLC (GLM) effective October 1, 2007. At the same time, dmg revealed it will sell its portfolio of North American consumer home shows, which total 40 events that take place in 28 cities across the United States and Canada.
“We’ve taken a good look at our business and determined the right strategic direction for us is to focus on our B2B business and to lessen our involvement in consumer events in North America,” said dmg's CEO Mike Cooke. He added that the GLM "acquisition not only expands our gift portfolio to include ownership of the New York International Gift Fair, which is the premier gift and home accessories market in the United States, but we further strengthen our B2B portfolio with a solid line-up of established trade shows.”
Dmg World Media and GLM, generally considered leaders in the North American exhibition industry, first joined forces in November 2000, when dmg acquired a 25 percent ownership stake in GLM. The long-term plan was for GLM to ultimately become a wholly-owned subsidiary of dmg world media by 2014.
Together the companies have decided it would be beneficial to accelerate the acquisition and take advantage of the strong management arrangement, established over the last seven years, by combining the dmg world media and GLM trade shows under a single management structure, according to dmg. Since 2000, GLM has managed dmg’s gift trade shows as well as the company's own portfolio of shows. Altogether, this line-up of more than 40 shows, which also includes dmg’s recently acquired gift shows in San Francisco, Portland and Seattle, makes them a leading producer of gift trade shows in North America.
Cooke will add the duties of GLM chairman and co-president to his responsibilities; Jeff Little, grandson of company founder George F. Little, will remain as GLM co-president. GLM headquarters will remain in White Plains, with satellite offices in Los Angeles and Toronto. Additionally, GLM executive vice presidents Alan E. Steel and Jack Withiam; Philip D. Robinson, GLM senior vice president and Richard Pasternak, GLM senior vice president and treasurer, will retain their leadership roles in the company.
Little said GLM shared dmg's thinking on the acquisition and desire "to accelerate the acquisition so that we can start seeing the benefits sooner of having an integrated group of leading trade shows.”
Dmg World Media is one of, if not the, largest exhibition organizers in North America with more than 80 events, including 10 of the top 200 trade shows in the United States and eight of the top 50 in Canada, according to leading B2B publication, Trade Show Week. (A sister publication of Gifts & Decorative Accessories, TSW is also published by Reed Business Information.)
In addition to the New York shows, GLM is involved in producing nearly 40 tradeshows in some 15 cities across the United States and Canada. Those shows include the California Gift Show, the Gourmet Housewares Show, the National Stationery Show and the Vancouver Gift Show, among others. Since its inception in 1924 by George F. Little, GLM has grown to serve industries as diverse as giftware, social stationery, home textiles, tabletop, gourmet housewares, contemporary furniture and wellness.
In divesting its 40 North American consumer home shows, dmg will sell events in 28 cities across the United States and Canada.
“There is a clear trend towards both aggregation of consumer events and vertical integration of consumer media,” Cooke said. “These shows have grown significantly over the last few years and given that we have built such a strong platform of consumer events, we are confident there is a media company looking to leverage its consumer media products through public events; a company that would see these shows as a good strategic fit,” Cooke added.
dmg world media, in the sale of its consumer home shows, will be represented by Jordan Edmiston Group Inc.
