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RGP Closes Acquisition of Chicago-Based Staffing and Outsourcing Solutions Provider Accretive
Thursday 07 December 2017

7 December 2017 - California, US-based business consulting firm Resources Connection, Inc., (RGP) (NASDAQ: RECN) has closed the acquisition of substantially all assets and certain liabilities of Chicago, US-based professional services firm Accretive Solutions, Inc., the company said.

RGP is acquiring Accretive for USD 19.4m in cash and 1.15m shares of Resources Connection, Inc. restricted common stock.

The company said the addition of Accretive allows RGP to add subscription-based services to its offerings. Accretive's complementary business model and service offerings will also help achieve deeper penetration with existing clients and increase RGP's share in the middle.

This transaction is expected to increase RGP's revenue by approximately USD 65-70m and EBITDA by USD 6.5-7.5m after 9-12 months.

Accretive will transition into the RGP brand over the next six-nine months, with the exception of Countsy, which will continue to operate under its own brand.

The Accretive transaction follows RGP's September 1, 2017 acquisition of taskforce Management on Demand AG, a German professional services firm that provides clients with senior interim management and project management expertise.

RGP, the operating subsidiary of Resources Connection, Inc. (NASDAQ: RECN), is a business consulting firm that helps leaders execute internal initiatives. Partnering with business leaders, RGP drives internal change across all parts of an enterprise accounting.

Accretive offers capabilities in accounting and finance, enterprise governance, business technology and business transformation, in addition to providing a back office suite of services to startups through its Countsy brand.
Details
Date Published: 07/12/2017
Target: Accretive Solutions
Country: USA
Deal Size: 37.66m (USD)
Sector: Business and Consumer Services
Type: Corporate acquisition
Financing: Cash and Stock
Status: Closed
Vendor:
Buyer: Resources Connection
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