NEW YORK: Daggerwing Group will merge with Ketchum Change and join the larger Ketchum network of companies at the start of next year, the firms said Thursday morning.
The deal will create what CEO Ewan Main calls a "one-stop shop" for clients in the midst of organizational change. The new organization will retain the Daggerwing Group name, while Main will report to Ketchum CEO Rob Flaherty.
Discussions over a deal began about six weeks ago, Main said.
"Our part of the puzzle has always been about the C-suite and getting strategic alignment, and when we do that, we create organizational change," Main said. "Ketchum Change’s part of the puzzle has always been in organizational change and continuing that though employee engagement and employee communications."
Main billed the merger to clients as a chance to streamline the process, saying, "It makes complete sense for us to go to the market with that proposition."
Asked why the group will retain the Daggerwing name, he cited positioning as a key factor. It will give his agency, which pins its reputation on C-suite-level work, a separate identity while remaining part of Ketchum.
Main started Daggerwing in 1999. The firm also has a healthcare component that will remain part of the firm.
No equity changed hands in the deal, as both agencies are part of Omnicom, Main said, adding there were no client conflicts.
"For the work we do, it’s seamless, but there’s no competitive element," he said. "For current clients, we can continue work as we’d done, but for all those clients we now have a larger service chain we can offer."
Leadership at the newly formed firm includes Daggerwing and Ketchum Change alumni. From Daggerwing, Cheryl Fergus will serve as president, while Matt Sinacori will be COO.
Ketchum Change veterans at the senior level will include: Paul Teuton, partner and EMEA MD; Michelle Mahony, SVP and North America director; Gretchen Huestis, SVP and Asia-Pacific director; and Rich Pacheco, VP and director of finance.
"Daggerwing’s work has always been global, but in terms of office presence, this offers us another advantage," Main said.
Main claimed there were no layoffs as a result of the deal. He added that Daggerwing has about 125 staffers.
Daggerwing has offices in New York, Toronto, Los Angeles, Chicago, Dallas, Atlanta, London, Dubai, and Singapore.