Consulting Sector M&A Deals for week beginning 5th October

Ernst & Young France (France) acquired Bluestone Consulting (France)
Deal Size: Undisclosed Industry: IT Consulting Date: October 2015
The Advisory business of EY has acquired Bluestone Consulting, an analytics and big data consultancy based in France. The deal boosts EY’s capabilities in the analytics space, bringing the total number of data scientists in France to 130. With the addition of Bluestone Consulting, EY boosts its data analytics capabilities in France and the broader EMEIA region, says Andrew Embury, EY Advisory Leader EMEIA. “The acquisition of Bluestone Consulting comes at a crucial time as today’s organisations are becoming increasingly data driven and are looking to harness data and analytics to make better decisions and accelerate their business performance. By combining our strengths, EY will be in a stronger position to help our clients address their big, complex business issues.” As part of the integration, former Bluestone Consulting leaders Arnaud Laroche, Xavier de Boissieu and Pierre Capelle have joined EY in France and will lead the new combined team along with EY’s Karim Ben Djemiaa. According to Laroche, who previously led Bluestone Consulting, the joining of forces with EY will provide his firm and its employees the opportunity to do what it has been doing for the past 15 years “on a much bigger stage.” (http://www.consultancy.uk)

Koninklijke Philips N.V (Netherlands) agreed to acquire Blue Jay Consulting, LLC (USA)
Deal Size: Undisclosed Industry: Healthcare Consulting Date: October 2015
Royal Philips announced that it has signed an agreement to acquire Blue Jay Consulting, a leading provider of consulting services to hospital emergency departments in the U.S. The transaction, which is subject to customary closing conditions, is expected to close in the fourth quarter of 2015. “Our customers are increasingly asking us to help them improve patient engagement and operational efficiencies across their enterprise,” said Jeroen Tas, CEO Healthcare Informatics, Solutions and Services. “The ability to augment our health technology offering with consulting services is therefore a critical element of our integrated solutions. With the acquisition of Blue Jay Consulting, Philips is further executing on its strategy to strengthen its capabilities to enhance the operational and financial performance of hospitals and health systems, while enhancing outcomes for both hospitals and patients alike.” In the past three years, Philips has significantly strengthened its capabilities in consulting services and business model innovation in health care. This has, for example, resulted in the recently announced long-term enterprise managed services partnership with Westchester Medical Center Health Network in the state of New York. The acquisition of Blue Jay Consulting will further expand these capabilities, primarily in the U.S, but also globally. (http://www.newscenter.philips.com)

Performics Inc. (United States) acquired FirstClick Consulting Pty Ltd. (Australia)
Deal Size: Undisclosed Industry: Healthcare Consulting Date: October 2015
ZenithOptimedia, part of Publicis Groupe announced the acquisition of FirstClick Consulting, Australia’s leading independent performance marketing agency. FirstClick will become part of Performics Worldwide, ZenithOptimedia’s global performance marketing network. The agency will rebrand to Performics Australia and will retain its current management team, led by CEO Grace Chu, who will join the Performics Global Executive Leadership Team. Investing in performance marketing solutions through the development of the Performics network is a key growth strategy for the ZenithOptimedia Group. Founded in 2005 and headquartered in Sydney, FirstClick provides clients across Australia with a full range of digital performance marketing services including search engine marketing, search engine optimisation, programmatic buying, social marketing, marketing analytics and conversion rate optimisation. Michael Kahn, CEO of Performics Worldwide, said: “We have been very impressed with the quality of FirstClick’s offering and the results it is delivering to its clients are truly exceptional by global standards. The combination of Performics, a global leader in performance marketing with FirstClick, a market leader in Australia will provide clients with a combination of global best practice and strong local knowledge. We are confident that together we will be very well positioned to service the growing digital opportunity in Australia.” (http://mumbrella.com.au)

RAG-Stiftung Beteiligungsgesellschaft mbH (Germany) acquired majority stake in Pell Frischmann Group Ltd. (UK)
Deal Size: Undisclosed Industry: Engineering Consulting Date: October 2015
AG-Stiftung (Foundation) Investment Company, the investment arm of Germany’s largest coal mining corporation, has purchased a majority stake in London-based engineering consultancy Pell Frischmann. The investment company has purchased the stakes previously owned by the Frischmann family and part of the Prabhu family to take a majority share of the business. Pell Frischmann employs more than 1,000 staff worldwide with eight offices across the UK and international offices in India, the Middle East, Turkey and Romania. Established by Cecil Pell in the 1920s, the company formed a partnership with Dr Wilem Frischmann in the early 1970s to form Pell Frischmann. Wilem Frischmann will be stepping down from his role as chairman, to be replaced by Jürgen Wild, managing director of RAG-Stiftung Investment Company, and will take on a new role as a strategic adviser to the board. Senior management team members, Tushar Prabhu and Richard Barrett, will become co-CEOs. Wild said: “Our strategy is to invest in market-leading firms with an international reach and a strong existing management team that delivers steady returns and growth. Pell Frischmann fits our criteria perfectly. A highly respected engineering consultancy that has an enviable reputation of combining cutting-edge technical expertise with superior customer service. I am committed to support the team growing the business both in the UK and abroad.” (http://www.construction-manager.co.uk)

Arthur J Gallagher & Co. (USA) acquired Burkwald & Associates (USA)
Deal Size: Undisclosed Industry: HR Consulting Date: October 2015
Arthur J. Gallagher & Co. has acquired Pewaukee, Wisconsin-based employee benefits consulting firm Burkwald & Associates Inc. Burkwald is a management and employee benefits consulting firm that provides group employee benefits and consulting services to Midwest commercial and public entity clients in the Midwest, Gallagher said Friday in a statement. Dan Burkwald and his staff of 15 employees will continue to operate from their Pewaukee location and report to William Ziebell, Gallagher’s north central employee benefit consulting and brokerage leader, a Gallagher spokeswoman said Monday. “Not only do they have a sales culture that matches ours, their team is also focused on high-quality customer service,” J. Patrick Gallagher Jr., chairman, president and CEO, said in the statement of the Burkwald purchase. “In addition, their Milwaukee-area presence and solid industry relationships will be a terrific complement to our expanding employee benefits brokerage and consulting operation.” (http://www.businessinsurance.com)

Sectra Communications Oy (Finland) agreed to acquire EXP Analytics Oy (Finland)
Deal Size: Undisclosed Industry: IT Consulting Date: October 2015
The IT and Medical Technology company Sectra has acquired the Finnish consulting company, EXP Analytics. EXP Analytics specializes in conducting analyses, as well as preparing strategies and solutions for information and cyber security on behalf of public authorities in Finland. The company has six employees and annual sales amount to approximately EUR 1 million. The acquisition will strengthen Sectra’s presence in Finland.
“Finland is an attractive market, where we foresee growth potential for our security solutions and services. The acquisition of EXP Analytics will provide us with local resources and expertise to deliver secure communications to Finnish customers,” says Michael Bertilsson, President of Sectra’s Secure Communications business area. The acquisition is in line with the Group’s strategy to expand in the areas and regions where the company commands an established position. This will be done primarily through organic growth, supplemented by acquisitions that also strengthen the Group’s organic growth. The operation will be transferred to the Finnish subsidiary, Sectra Communications Oy, which is included in Sectra’s Secure Communications business area. (http://nordiclifescience.org)

Heidrick & Struggles (U.K.) Limited (UK) acquired Co Company (UK)
Deal Size: Undisclosed Industry: Management Consulting Date: October 2015
Heidrick & Struggles (Nasdaq: HSII), the premier provider of executive search, leadership consulting and culture shaping worldwide, announced today that it has acquired Co Company, a London-based advisory boutique specializing in leadership services that accelerate organizational  performance. “This acquisition is an important marker in the further development of our full complement of leadership advisory services to help our clients achieve transformative results,” said Tracy R. Wolstencroft, Heidrick & Struggles’ President and Chief Executive Officer. “The addition of Co Company provides a premium leadership and organizational development capability with tools that can scale globally. It will enhance our ability to work with senior executives around the world to accelerate individual, team and business performance.” Led by Colin Price, a senior leadership advisor who previously served as a director at McKinsey & Co. and a partner at Price Waterhouse Management Consultants, Co Company advises clients on key facets of organizational performance including team dynamics, performance management and leadership assessment, development and transformation. Price will lead Heidrick & Struggles’ Leadership Consulting practice globally as Executive Vice President, based in London. He will serve as a member of the firm’s Management Committee. “Colin has developed a strategic advisory firm combining data analytics with insightful, professional judgment to help teams succeed in unpredictable and rapidly changing operating environments,” Wolstencroft said. “The team will further develop and deploy this model at Heidrick & Struggles, leading the expansion of our Leadership Consulting services globally with a relentless client focus.” (http://thenumbers.marketplace.org)

Mercer LLC (USA) agreed to acquire HR Business Solutions (Hong Kong)
Deal Size: Undisclosed Industry: Management Consulting Date: October 2015
Mercer, the consultancy unit of Marsh & McLennan, has acquired Human Resources Business Solutions (HRBS), a provider of career and talent consulting and information services to clients across Asia. The company said the acquisition will extend Mercer’s offering in Asia in compensation and benefits expertise, an area of critical importance in the region’s high demand talent markets. HRBS has offices in Hong Kong, Singapore, Shanghai and Beijing and employs approximately 45 professionals. The company is a dominant player in the compensation and benefits space for inbound multinationals and has established market leadership in the luxury goods, retail and apparel-sourcing sectors across Asia. The firm will enhance Mercer’s portfolio in the areas of remuneration strategy, pay structure design, short- and long-term incentive design and performance management. It will also bring a range of regular surveys to Mercer clients. Susan Haberman, Mercer’s talent business leader for growth markets, said: “Our clients across Asia are experiencing incredible growth and change and, as a result, they are facing new and greater complexities in talent management.(http://www.intelligentinsurer.com)

Groupe Protec (France) acquired Tersus Consultancy Ltd. (UK)
Deal Size: Undisclosed Industry: Engineering Consulting Date: October 2015
A Birmingham-headquartered provider of asbestos consultancy, surveys and air monitoring, which employs 130 staff across five UK offices, has been acquired by French company Groupe Protec. Tersus Consultancy was been snapped up by Groupe Protec and the sale provides London-based private equity firm Meridian Equity with an exit. Tersus, which has UK offices in London, Birmingham, Sheffield, Brighton and Taunton, was advised by accountancy firm Mazars advised on the sale. New owner Groupe Protec was established in 1997 and is focused on health and hygiene protective equipment. Alan Peck, Tersus managing director, said: “Protec Groupe has a very well established reputation in France and we are looking forward to working with the team at Groupe Protec. The acquisition will open up exciting growth opportunities for Tersus Consultancy.” Leeds-based Oliver Hoffman, Alex Baskeyfield, and Will Brennand represented Mazars on the deal. Alex Baskeyfield said: “Both Tersus Consultancy and Protec Group have excellent reputations and this acquisition will strengthen both firms and is sure to have a positive impact on their staff and customers. “It provides an exciting opportunity for Tersus Consultancy to benefit from access to a larger European business and offers Protec Groupe a strong presence in the UK market.” (http://www.insidermedia.com)

Denovo (USA) acquired BizTech (USA)
Deal Size: Undisclosed Industry: IT Consulting Date: October 2015
Denovo, a leading provider of enterprise cloud hosting, consulting, outsourcing and managed services, today announced that it has acquired the assets of BizTech, an award-winning provider of consulting services for Oracle Cloud Applications, Business Intelligence, Hyperion and E-Business Suite (EBS). The terms of the transaction are confidential. In 2001, Tom Connolly founded BizTech. For more than a decade, the company has focused on delivering its services and solutions for Oracle Applications and applied technologies to small, mid-size and Fortune 500 companies. Continually innovating, BizTech provides on-premise customers with a cloud-deployed alternative. BizTech’s cloud implementations help improve customer ROI, reduce risk and accelerate time to value. Making an early commitment to Oracle Cloud products, BizTech has successfully implemented over twenty instances of Cloud ERP. Marty Snella, Denovo’s Chief Executive Officer stated, “This acquisition is strategic to us in so many ways. First and foremost, it significantly deepens our portfolio of Oracle ERP products and cloud services. The Eastern expansion, also demonstrates our commitment to becoming Oracle’s go-to national partner, across all Oracle products.” Marty continued, “Tom has done a phenomenal job assembling a very talented senior leadership team at BizTech. We are excited that the BizTech Management team is moving forward with Denovo, and will take on significant roles within our organization. This is critical to our rapid growth strategy in the Eastern US.” Denovo, an Oracle Platinum partner, has been very transparent with its aggressive growth plans. Tom Connolly, CEO, BizTech added, “In Denovo, we have found an incredible partner who shares our vision and drive for excellence. This strategic combination represents a unique opportunity, where the complementary strengths of BizTech and Denovo’s robust cloud and ERP service offerings will be leveraged to deliver more value our customers across the US. I am very enthusiastic to combine BizTech’s expertise and key talent with that of Denovo.” (http://stocks.moneyshow.com)

IDOX plc (UK) acquired Reading Room, Ltd (UK)
Deal Size: $8.6 million Industry: Marketing Consulting Date: October 2015
AIM-listed software group Idox has acquired a digital consultancy with bases in Manchester and London in a deal worth approximately £5.6m. Idox will be acquiring the company’s trading entities in London and Manchester but not its Asia Pacific subsidiaries. Founded in 1996, Reading Room is a digital consultancy with a focus on delivering websites and digital services that enable its customers to make shifts into digital business and client engagement. The company counts the likes of ŠKODA, Taylor Wimpey, National Football Museum, West Yorkshire Police, HM Revenue & Customs, Visit England and Big Lottery Fund among its clients. The businesses being acquired reported revenues of approximately £9.8m and EBITDA of about £300,000 for the year ended 31 March 2015. “The acquisition of Reading Room is a major step in our strategy to build a sophisticated digital platform from which we can leverage our sector and domain knowledge to provide value adding solutions across the UK and Europe,” said Idox chief executive Richard Kellett-Clarke. Sarah Vick, managing director at Reading Room, added: “I am delighted that we have joined the Idox Group, with all the opportunities that will become available to us from being part of such a business. It is a great fit for us and the beginning of an exciting new era for Reading Room.” (http://www.insidermedia.com)