Growing a Public Affairs Business through Global Acquisitions
Our Objective
Our team was tasked with consolidating what began as an add-on offering under a leading public relations firm and turning it into an independent global public affairs powerhouse. The goal was to build a distinct brand with expanded expertise to provide higher-value, strategic services beyond our client’s stakeholder mapping and communications offerings. With an ambitious mandate to more-than-triple revenue within five years, we set out to acquire and integrate top-tier government relations firms in key markets across the world.
Our Approach
Our team began with a level-set on markets that drive growth in the public affairs sector, followed by a comprehensive region and skills gap analysis. Brasilia and Brussels, as regional capitals where a public affairs presence was missing but essential for the growth of a global firm, fit our model. Working with colleagues and across our global network, we identified potential acquisition targets within a specific revenue band who offered the sector expertise, leadership, and services we were seeking, including government relations and sector specialization. Our team initially interviewed each firm to determine their cultural and philosophical fit. Once we had landed on our candidates in each market, we assembled a deal team with five components: business, finance, human resources, legal, and IT.
Our Impact
Simultaneously acquiring high-caliber boutique firms in both Brasilia and Brussels, was a big part of hitting our acquisition revenue target in less than two years. We also leveraged those acquisitions to enhance the leadership team at our client’s firm and add deep expertise in key sectors. As a result, those acquisitions now account for a significant part of the firm’s offering and growth well beyond their regions. Acquisitions are always bumpy and most fail — the key to a successful acquisition in this unique sector was to focus on every person on both the acquired and acquiring teams and how they would be impacted. Success in public affairs is solely based on your team composition, systems, and culture. The finances can be worked out, but if you don’t get the people right, the deal won’t succeed. We got it right.
