Cision and Gorkana merger on hold until June due to competition fears

The merger of Cision and Gorkana has been put on hold until June, while UK regulators decide whether to accept proposals put forward by Cision owner GTCR.

Cision CEO Peter Granat: "Gorkana is very strong in the enterprise space around media intelligence and insights"
Cision CEO Peter Granat: "Gorkana is very strong in the enterprise space around media intelligence and insights"

Last month the Competition and Markets Authority (CMA) put the merger on hold to investigate whether the move could lessen competition in the production and supply of media contact databases.

Both Cision and Gorkana were given five days to put forward proposals. GTCR has promised to sell part of the business to satisfy competition concerns.

Today (14 April) the CMA published a statement saying that it had until 11 June to consider whether to accept GTCR's undertakings.

The CMA will carry out a public consultation on whether the proposals are sufficient.

If the CMA does not accept the undertakings there will be a second merger investigation.

Cision, which is owned by private equity firm GTCR, announced plans to acquire Gorkana in October 2014 for an undisclosed sum, shortly after its acquisition of Vocus.

Speaking to PRWeek at the time, Cision CEO Peter Granat said: "Gorkana is very strong in the enterprise space around media intelligence and insights and analysis services, as well as its premium database on the international market in London. This makes Gorkana a great addition to the Cision portfolio, as it will help us expand quickly as we look at other international markets and build out a suite of tools around the PR space."

Gorkana was acquired by Exponent in April 2010, for an undisclosed sum. GTCR bought around 72 per cent of Cision last year while in the process of purchasing Vocus, with a view to merge the two companies.

Gorkana declined to comment.

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