NEW YORK: InVentiv Health has acquired Chamberlain Communications Group, a healthcare-focused public relations firm, for $13 million in cash and stock.
New York-based Chamberlain, founded in 1993, currently works with pharmaceutical giants such as Eli Lilly, Novartis, and Pfizer. InVentiv provides clinical, sales, marketing, and communications solutions through its three business segments. The company works with over 200 pharmaceutical and life sciences clients, including all of the top 20 global pharmaceutical companies.
Chamberlain will retain its brand identity, operating under the inVentiv Communications division. Richard Chamberlain will remain president of the firm, which will act as the chief PR arm of inVentiv.
"We're thrilled," said Blane Walter, president and CEO of inVentiv Communications. "We are very strong on the advertising front, on the medical education front, and on the technology front, but one of the key components we wanted to strengthen was PR."
Walter said the company began talking with Chamberlain nearly nine months ago about the possibility of a deal. Chamberlain has plans for international expansion that will be enhanced as a result of the acquisition, according to Walter. The definitive agreement between the two parties closed on March 1. Walter said that no conflicts have arisen with the existing accounts of the two firms.
"This is all about providing an opportunity to provide more integrated, sophisticated solutions to our clients. It allows us to bring the PR mindset," Walter said.
The deal includes potential earn-out payments for exceeding specified financial targets, and the transaction is expected to immediately impact inVentiv's earnings, according to a statement. Chamberlain brings approximately 40 people with it and there will be no lay-offs as part of the merger.