EMAP may not be dead - yet.

It is being reported that the credit crunch has scuppered, at least temporarily the Apax backed merger of Emap Business and Incisive Media. To merge the two businesses would require refinancing debt already on Incisives balance sheet - and the credit crunch means that would be on less favourable terms than the deal currently in place. Also, the new deal would require more equity and less debt than previously thought as the banks play very cautiously in the new "sub prime" world.

In practical terms this means that Incisive and Emap will operate seperately - at least for the forseeable future. Of course the deal to acquire Emap is not closed and Apax still have to place all that debt requirement. I have no doubt they will be confident - but what happens if they can't?

EMAP Dead

I know this happened a while ago, but it can hardly pass without comment. It does seem extraordinary that the management of a business with the money and resources of EMAP and its extraordinary brands can think of nothing better as a strategy than flogging it all off.

Still, a good price was achieved for shareholders I suppose. It does appear though that APAX have been good as their word in backing their buy and build strategy around Incisive Media. On the assumption that EMAP Business becomes an integrated part of the Incisive operation, Wellers empire is now one of the biggest B2B groups in the world. This will be a substantial test of Wellers management. He has no experience of runnning an enterprise of this size and will need a strong second tier management team.

And on a final note, just because its big doesn't mean there is any point to it. I would love to hear a clear strategy description for the new enlarged business - but now Incisive is a private business I suspect we won't.