The New Breed of PR Agency Acquirers

By now it would be common knowledge to assert that private equity firms and family offices have become “more interested” in acquiring public relations agencies. We at The Stevens Group are much more inclined to characterize this explosive growth in the appetites of private investment companies in the PR agency M&A market as a “feeding frenzy.” And why this is happening should come as no surprise to most PR agency owners.

Over the past 10 years growth in the PR agency sector has become remarkably robust at the net fee, net income and exit strategy levels. And there is no sign of this phenomenon abating as new data-centric technologies continue to have a profound affect on PR agency services diversification, such services that are enabling PR firms to prove their worth to the formerly skeptical occupants of their clients’ C Suite.

Private equity and Family Office professionals are no fools. They see the PR sector for what it has become. Specifically a huge growth area and a more secure place than ever to invest their clients’ money.