Huron to Acquire Growth Strategy Firm Innosight
Global professional services firm Huron entered into an agreement to acquire Innosight Holdings, a growth strategy firm focused on helping companies navigate disruptive change, enable innovation and manage strategic transformation. When combined, Huron and Innosight will use their strategic, operational and technology capabilities to help clients across multiple industries develop pioneering solutions to address disruption and achieve sustained growth.
“No industry is immune to disruption. Faced with increased competition, often from unconventional sources, organizations are forced to rethink their historical strategies to stay ahead of market forces and changing customer preferences,” said James H. Roth, CEO and president of Huron. “Together, we will provide a full spectrum of services – from strategy to execution – that will help organizations think, plan and act differently to confront disruption and accelerate growth.”
The firm’s innovation and transformational strategies have proven successful in industries undergoing disruptive change such as aerospace, automotive, energy, financial services, healthcare, insurance, life sciences and retail.
“Companies are under mounting pressure to satisfy a range of competing interests,” said Scott Anthony, managing partner at Innosight, who will become a Huron managing director. “But shifting stakeholder expectations, combined with disruptive change, create significant opportunities for today’s leaders. Huron and Innosight’s combination of capabilities in strategy, operations, technology and analytics will enable us to offer transformative change to address these opportunities.”
Under the terms of the purchase agreement, Huron will purchase Innosight Holdings for $100 million upon closing, consisting of $90 million in cash and $10 million in Huron common stock, plus contingent consideration of up to $35 million if specific financial performance targets are met over a four-year period. The cash component of the transaction will be financed with cash on hand and borrowing under the company’s senior secured credit facility. The shares of Huron common stock will not be registered under the Securities Act of 1933 and will be subject to restrictions on transfer under applicable securities law.