Vietnam-based FPT buys majority stake in US consultancy Intellinet

24 July 2018 Consulting.us

Vietnam’s top IT firm FPT has purchased a 90% stake in US management and technology consultancy Intellinet. The deal is worth an initial $30 million with up to $20 million added based on Intellinet’s performance in the next year. The transaction enhances FPT’s ability to provide management consulting services to its clients.

Intellinet is a US management and technology consulting firm with offices in Atlanta, Boston, Charlotte, Hartford, and Raleigh. The firm provides services in strategy and program execution, digital engagement and insight, and technology platforms and operations. Founded in 1993, the consultancy has a client base of 200 and posted revenues of $30 million last year.

Vietnam’s top IT services firm FPT announced that it has purchased a 90% stake of the US consultancy. Founded in 1988, FPT has a total employee headcount of 32,000 across 33 countries, and had revenues of $1.93 billion in 2017. The deal will see Intellinet continue as an independent organization, though both companies will be able to leverage each other’s strengths. FPT will pay between $30-$50 million for the majority stake in the firm.

The deal will bolster FPT’s ability to deliver management consulting solutions, making it more of a one-stop shop capable of offering comprehensive services to clients. Intellinet, on the other hand, will gain access to FPT’s deep offshore resources in digital transformation, as well as its extensive client base.Vietnam-based FPT buys majority stake in US consultancy Intellinet“As technology partners of global enterprises in the Fourth Industrial Revolution, we realize that there exists a huge demand in Digital Transformation consultancy and implementation services,” said Mr. Truong Gia Binh, Chairman of FPT. “By making a strategic investment in Intellinet, FPT is now more than ready to provide comprehensive Digital Transformation solutions to top companies, elevating Vietnam’s position on the global technology map.”

FPT has previously partnered with tech heavyweights like Amazon Web Services, Microsoft, Siemens, and others. The Vietnamese firm has a history of strong service provision in the US, having provided IT support to nearly 200 customers in industries ranging from aerospace to banking to healthcare. With the strategic addition of Intellinet’s 150 professionals, FPT will expand its US presence while allowing it to offer a full range of technology solutions – including consulting, system design, development, implementation, and maintenance. 

“We are thrilled to join the FPT family,” added Mark Seeley, Intellinet’s Chief Executive Officer. “By combining our business acumen, industry expertise, and technology execution, our teams can deliver more innovation and transformational solutions that will truly make a measurable impact on our clients’ businesses.”

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OneDigital buys Northwestern Benefit in company's largest acquisition yet

11 April 2019 Consulting.us

Human resources and benefits consultancy OneDigital Health and Benefits has acquired Northwestern Benefit, the largest privately held benefits broker in Georgia.

Atlanta-based OneDigital has carried out an aggressive acquisition strategy in past years, completing 28 deals in 2018, as well as five in 2019 thus far. Its recent acquisitions have included consulting firms Paradigm Group, Cherry Creek Benefits, and Veritas Risk Services. OneDigital’s rapid expansion last year boosted annual revenue by $100 million in 2018, reaching $400 million.

OneDigital’s core offerings include strategic benefit advisory services, analytics, compliance support, human resources management technology, and insurance broking. The firm has more than 80 offices in the United States.

The consulting firm has continued its accelerated growth strategy with the purchase of benefits and HR consultancy Northwestern Benefit, which is also based in Atlanta. “This represents an exciting milestone for OneDigital, where our largest acquisition to date is also located right here in our home state of Georgia,” Adam Bruckman, CEO of OneDigital, said. “Northwestern lets us compete in the Atlanta benefits marketplace in an entirely new way.”OneDigital buys Northwestern Benefit in company's largest acquisition yetThe acquired firm was founded in 1996, and provides benefits, HR, compliance, wellness, education, and workforce planning advisory services to clients in George and across the US. Northwestern Benefit’s 150 employees will join OneDigital, bringing the firm’s headcount to over 1,600 employees, and its employer client count to approximately 50,000.

OneDigital’s chief growth officer, Mike Sullivan, highlighted Northwestern’s excellent sales culture and client service models as factors in the deal, while noting that the deal will significantly expand the firm’s middle market scale and capabilities. Sullivan expects more deals on the horizon, as OneDigital seeks to scale up further. “We expect north of 25 acquisitions again this year to bring us over the $500 million revenue threshold,” he said.

David Asbury, CEO of Northwestern Benefit, will join OneDigital as a senior managing principal. “As the benefits space continued to consolidate and we considered acquirers, it was incredibly important to me to find the right partner,” he said. “With OneDigital’s scale, reach and long-term vision, we knew our organizations would fit together and be stronger together right off the bat.”

As employment levels remain at record highs, employers are increasingly turning to effective and comprehensive benefits packages in order to attract and retain a dwindling pool of talent. HR and benefits firms help employers strategize the ideal benefits and compensation packages to get the talent they need, while doing so in the most cost-effective manner. “In a rapidly changing economy, an employer’s ability to attract and retain talent is often directly tied to the benefits they can provide, and OneDigital ensures we’re supplying our clients with the most robust health, wealth, and HR advisory services,” Bruckman said.