Consulting M&A Weekly Round-up (11th to 17th February, 2024)

Greetings and welcome to another installment of our weekly round-up of global consulting M&A news. In this edition, we present a diverse range of significant deals shaping the industry landscape.

Headlining this week's news is Accenture, which has inked an agreement to acquire procurement consultancy Insight Sourcing. Additionally, noteworthy acquisitions have been made by IT Consultancy Codestone and Huron. Yet, these are just a glimpse, as there are many more intriguing developments to explore. Without further ado, let's dive into the latest happenings from the past week.

#1. Accenture buys procurement consultancy Insight Sourcing

Accenture has entered into an agreement to acquire Insight Sourcing, a strategic sourcing and procurement consulting firm based in Atlanta.

Established in 2002, Insight specializes in assisting clients in optimizing costs during the sourcing and negotiation of contracts for both direct and indirect materials. Their services extend to capital expenditures and energy procurement management, with a focus on cost takeout strategy driven by category and supplier market intelligence.

The acquisition by Accenture encompasses Insight's suite of over 40 technology procurement tools and includes Insight Energy, the firm's business dedicated to energy procurement and management.

Muqsit Ashraf, global lead for Accenture Strategy, highlighted the significance of this investment in addressing the increasing demands from private equity investors. He emphasized the need for tailored and repeatable solutions that deliver value. Ashraf sees Insight Sourcing as a valuable addition, providing essential spend and sourcing capabilities to Accenture's private equity clients and their portfolio companies.

#2. IT consultancy group Codestone acquires Cloud Business

Codestone Group has completed the acquisition of Cloud Business, expanding its portfolio of services in the realm of cloud computing consulting and managed services.

Headquartered in Basingstoke, Cloud Business brings to the table a team of over 90 experts specializing in end-to-end digital transformation across Azure, M365, and Cyber. The integration of Cloud Business into Codestone aims to augment Codestone's capabilities in IT consulting and services, particularly in Microsoft Azure, Microsoft 365, and Cybersecurity. Additionally, the acquisition is set to strengthen Codestone's managed services team in the UK, a distinction acknowledged by CRN.

Darryl Sackett, CEO of Codestone Group, emphasized the company's commitment to delivering comprehensive value across various sectors and geographies. Sackett highlighted the focus on helping organizations navigate the complexities of the modern technological landscape, covering aspects such as Digital Strategy, Edge computing, mission-critical infrastructure, and business processes.

The acquisition of Cloud Business is seen as a means to extend these capabilities to a wider customer base, with a strong cultural alignment and shared core values.

#3. Huron to acquire fundraising consultancy GG+A

Huron, a management consulting firm based in Chicago, has completed the acquisition of Grenzebach Glier and Associates (GG+A), a fundraising consulting firm also based in Chicago.

Established in 1961, GG+A specializes in assisting educational institutions, healthcare organizations, arts entities, and other non-profit organizations in developing and maintaining high-performing fundraising programs. The firm's expertise spans various areas, including alumni engagement, annual giving, benchmarking, fundraising counsel, strategic communications, and advancement learning.

The acquisition by Huron is set to enhance its philanthropy consulting offerings, with the GG+A team becoming part of the firm's education operating segment. The deal is expected to be finalized in March.

Mark Hussey, CEO and President of Huron, highlighted GG+A's reputation for helping clients worldwide achieve their philanthropic goals and serving as a trusted advisor in advancing their missions. The collaboration aims to leverage Huron's strong client relationships and digital capabilities with GG+A's extensive consulting expertise in advancement, providing clients with a comprehensive, data-informed strategy throughout the donor journey.

#4. SpendLab embarks on next growth chapter with US investor Story Capital

Story Capital, an investor group, has acquired a majority stake in SpendLab, a Netherlands-based company specializing in accounts payable transformations.

Empowered by Story Capital's increased financial support, SpendLab aims to expedite its growth agenda. This includes substantial investments in its product suite, expanding its global presence, and augmenting its team.

Founded in 2002, SpendLab assists companies in both the public and private sectors in swiftly gaining insights into outstanding claims and identifying incorrectly paid invoices (resulting from factors such as fraud or duplicate payments). Organizations leverage these insights to recover funds through streamlined processes.

Jos Houben, Founder of SpendLab, expressed confidence in the strategic investment from Story Capital, anticipating that it will solidify their leadership in the accounts payable audit and recovery domain.

Houben cited Story Capital's appeal, emphasizing their unique combination of entrepreneurial experiences, technological value-add in areas such as artificial intelligence, engineering, and product expertise, along with a shared vision for the future of SpendLab.

#5. W. Capra Consulting to acquire Impact 21

W. Capra Consulting, an IT consultancy based in Chicago with a focus on the retail industry, has reached an agreement to acquire Impact 21, a retail sector consulting firm located in Lexington, KY.

Established in 1998, Impact 21 offers business and technology consulting services to various industries, including petroleum/convenience stores, retailing, refining, and foodservice. Their expertise covers business and technology alignment, technology and innovation, customer strategy and experience, category management and foodservice, as well as staff augmentation.

The acquisition of Impact 21 is positioned to establish a "premier end-to-end consulting and services business," as stated in a press release by W. Capra Consulting. The combined entity aims to provide comprehensive offerings across strategy, technology, operations, and transformation, leveraging consultant teams with experience in leading the entire lifecycle of client initiatives.

Mike Streams, Partner at W. Capra, expressed enthusiasm about the synergy created by the addition of Impact 21. He highlighted the expansion of services, emphasizing the shared excitement about serving clients, industries, and communities in a more comprehensive manner together.

#6. Translink expands Benelux footprint with AenF Partners

Translink, the international M&A network, has expanded its presence in the Benelux region through the inclusion of AenFPartners.

With its headquarters in Switzerland, Translink is a global network that encompasses 300 M&A advisors across more than 35 countries, positioning itself among the world's top ten mid-market-focused M&A players.

Maurits Hesseling, Managing Partner of Translink in the Benelux, highlighted the strategic importance of fortifying their presence in the Netherlands. In pursuit of this goal, they sought a partner with similar growth objectives and synergies, leading them to AenF Partners. Hesseling emphasized the natural alignment between the two firms in terms of services, approach, and culture.

Established in 2005, AenF Partners is a boutique M&A advisory firm specializing in acquisitions, divestitures, valuations, management buy-ins, and financing, with a specific focus on the mid-market segment. Having facilitated approximately 450 deals since its inception, the firm earned recognition as one of the leading M&A consultancies in the Dutch market last year.

AenF Partners' interest in expanding international exposure aligns seamlessly with Translink's global expertise and widespread footprint, making the partnership a mutually beneficial fit.

Notably, nearly 80% of AenF Partners' current deals are on the sell-side, amplifying the cross-border opportunities arising from the merger and providing added advantages for clients seeking to venture abroad.

Closing Thoughts

That concludes this week's edition of our consulting M&A news round-up. We look forward to bringing you more updates next week. If there are any deals or news we might have overlooked, please reach out and inform us. Until then, see you all again next week. Goodbye for now!