By Colin Kellaher

Viad is selling its GES exhibition services and experiential marketing business for $535 million as part of plans to become a pure-play attractions and hospitality company.

Viad on Monday said it has agreed to sell GES to private-equity firm Truelink Capital in a deal slated to close by the end of the year.

The transaction includes a base purchase price of $510 million and a deferred payment of $25 million due one year after closing.

Viad's GES business accounted for nearly 80% of Viad's revenue for the first six months of 2024.

The Scottsdale, Ariz., company said it plans to change its corporate name to Pursuit upon completion of the deal and to change its stock symbol to PRSU.

Viad said Pursuit, as a standalone publicly traded company, will be able to better allocate resources and capital to pursue a separate and distinct growth model and to use a substantially improved balance sheet to pursue high-return growth opportunities.

The company said it plans to use proceeds from the sale to retire Viad's credit facility, which includes a term loan with $317 million outstanding and a $170 million revolving credit facility that has no borrowings drawn.

Viad said David Barry, who has been president of its Pursuit attractions and hospitality business since 2015, will serve as president and chief executive Officer of the standalone company, while Steve Moster, Viad's current president and CEO, will transition into an advisory role.

Los Angeles-based Truelink, launched in 2022, targets midsize companies in the industrials and tech-enabled services sectors. The firm in June agreed to buy Johnson Controls International's air-distribution technologies business.

Write to Colin Kellaher at colin.kellaher@wsj.com

(END) Dow Jones Newswires

October 21, 2024 07:28 ET (11:28 GMT)

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