Gartner to Acquire META Group for $162 Million

Dec 28, 2004


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Gartner, Inc., a provider of research and analysis on the global information technology industry, and META Group, Inc., an information technology research and consulting firm, have reached an agreement under which Gartner will acquire META Group in an all-cash transaction valued at $10.00 per share, or approximately $162 million. Gartner intends to finance the acquisition through the use of current cash, as well as borrowings under the company's existing line of credit. The boards of directors of both companies have unanimously approved the agreement.

Gartner does not expect the transaction to have a material impact on its 2005 operating results, excluding charges related to the integration of META Group, but expects it to be meaningfully accretive thereafter. The company will provide additional information on the financial impact of the transaction, as well as 2005 guidance for Gartner on its 2004 year-end earnings call scheduled for February 3, 2005. The transaction is subject to customary closing conditions, including regulatory approvals, and approval by META Group's stockholders. The transaction is expected to close in the second quarter of 2005.

Perseus Group, the San Francisco-based investment bank, provided financial advice including a fairness opinion to Gartner's board of directors in connection with the transaction. Wachovia Capital Markets, LLC acted as exclusive financial advisor to the special committee of the board of directors of META Group, Inc.
(www.gartner.com; www.metagroup.com)