Penton Name Will Live On, Post-sale

The combined Prism-Penton keeps older brand and Prism's CEO

By Rachelle Crum -- Tradeshow Week, 12/18/2006

A month of speculation was all the industry could take.

Since Prism Business Media announced Nov. 1 that it would acquire Penton Media for $530 million, the big questions on everyone's minds were: Who would be CEO of the newly combined company, Prism President and CEO John French or Penton CEO David Nussbaum, and what brand would the company operate under?

The answers, French and Penton, came Dec. 6, along with the news that Nussbaum would leave following the acquisition's close (expected in the first half of 2007) and that the company would be based in New York, where Prism is currently headquartered (Penton is based in Cleveland).

The decision to call the new company Penton rather than Prism appeared to be a natural one. Penton was founded in 1892; Prism, last year when U.S. Equity Partners II — an investment fund sponsored by Wasserstein & Co., and co-investors Highfields Capital Management and Lexington Partners — purchased Primedia's business information unit.

French said in a statement, "Penton is one of the most recognized and valued brands in business-to-business media, with roots that reach back more than 100 years. We now have the opportunity to create an exciting new future for our customers, our employees and our properties under the Penton banner."

Penton's not exactly foreign territory for French. He worked there for 13 years, serving as a vice president and group publisher for the firm's Electronic Design and Microwaves & RF (radio frequency) magazine groups and in the same positions for the Penton Electronics Group.

French has been CEO of Prism since its formation, and president of its predecessor, Primedia. French also held senior sales management positions with CMP Technology, PennWell Publishing and VNU.

Anup Bagaria, vice chairman of Wasserstein & Co. (which will co-own the new firm, along with fellow private equity firm Mid-Ocean Partners), said of French, "We're confident that John will bring leadership and vision to this exciting new company."

On Nov. 22 Wasserstein and MidOcean announced their co-ownership, under which Mid- Ocean will acquire a 50-percent interest in the combined entity from Wasserstein, Highfields and Lexington. Additionally, the firms appointed Bagaria and Tyler Zachem, a managing director at MidOcean, co-chairmen of the new company.

In a statement, Nussbaum said, "I feel honored and privileged to have had the pleasure of leading the Penton team."

Nussbaum could not be reached for direct comment. The Dec. 6 press release stated that he would "pursue other business interests."