NEW YORK: In what may well mark the start of a trend, VC firm Yazam has acquired two Philadelphia-based PR agencies, Gregory Communications and Financial Communications Associates (FCA).
NEW YORK: In what may well mark the start of a trend, VC firm Yazam
has acquired two Philadelphia-based PR agencies, Gregory Communications
and Financial Communications Associates (FCA).
Gregory and FCA had been partners since the mid-1990s and had been
exploring ways to formally merge. The cash-and-stock deal calls for
tech-focused Gregory and IR specialist FCA to merge operations, which
shouldn’t be all that difficult given that they already share office
The newly combined company, to be known as Gregory FCA, will have 26
employees and projected revenues of dollars 3 million in 2000. The deal
allows the agencies to provide PR and IR for Yazam’s portfolio clients,
such as CoreMarkets and Primeshot.com. Right now, Yazam’s clients
account for about 20% of Gregory FCA’s stable, which also includes Kodak
Photonet Online and StarCD.
Gregory founder Gregory Matusky, who becomes president of the new
entity, said he is looking to open a New York office ’as soon as
possible’ and a West Coast outpost by the end of the year. FCA founder
David Evanson will serve as president of IR for the new firm.
While it is unclear if the Yazam deal is the first of its kind, it is
understood that similar deals as VCs recognize the benefits of having PR
expertise in-house. ’In the new economy, capital and exposure are
currency,’ Matusky said.