TOP executives at two of Britain’s largest publishing companies have held talks about a merger that would create a £3 billion FTSE 100 media group.

United Business Media, led by chief executive David Levin, has opened negotiations with Informa, headed by chief executive Peter Rigby. UBM, best known as the publisher of such titles as Travel Trade Gazette and Property Week, is also one of Britain's largest exhibition companies.

Informa runs a variety of business-information services and publishes the shipping industry bible, Lloyd’s List.

A combination of the two has been mooted among media bankers for some time, and the two sides recently held exploratory talks.

However, no decision to go ahead has been made. The companies may confirm the talks in a Stock Exchange announcement this week. Informa has a slightly greater stock market value, at £1.6 billion against UBM’s £1.5 billion.

“It does make sense, because the two are a good geographic fit, with little overlap,” said one media banker yesterday. But another source said there could be obstacles, including bids for Informa from private equity.

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