LONDON: Huntsworth and Incepta Group have agreed to merge, creating an estimated $375 million company.
Incepta will retain more than two-thirds control over the merged entity, which has yet to pick a new name. As part of the deal, Huntsworth CEO Lord Chadlington will become executive chairman. Incepta CEO Richard Nichols will be CEO.
In a joint statement, "greater critical mass and international presence" were cited as reasons for the deal. Both companies estimate that the merger will create more than $4.5 million a year in savings for the companies.
The combined company will have nine US offices, including Huntsworth-owned Global Consulting Group's locations in Chicago, LA, New York, and Sacramento, and Incepta-owned Citigate's locations in Austin, TX, Boston, Chicago, New York, and San Francisco. The group will operate from approximately 125 offices in 23 countries.
George Sard, principal at Citigate Sard Verbinnen, said the merger would have "absolutely no effect" on Citigate's US firms.
Incepta mulled merging with UK firm Chime late last year, but that deal was not completed.