Resources Connection, Inc., (NASDAQ: RECN), a multinational business consulting firm operating as Resources Global Professionals (‘RGP’), closed a transaction to acquire 100% of the equity of Veracity Consulting Group, LLC (‘Veracity’) for an initial cash consideration of $30.6 million, plus potential additional payments based on longer-term performance.
Veracity is a fast-growing, digital transformation firm based in Richmond, Virginia, that delivers innovative solutions to the Fortune 500 and leading healthcare organizations. Founded in 2015 by Bhadresh Patel, Jon Bohlman, Elisa Parkin, Joshua Lindsey, Rachel Adler and Matt Kumper, Veracity combines business-led digital strategy and design prowess with deep technology expertise, serving clients across four core capability areas – Strategy & Roadmap, Brand Experience, Workforce Experience and Customer Experience. Veracity achieved $21.4 million in revenue in 2018 which represents 58% growth over 2017.
The acquisition of Veracity is a powerful step in accelerating RGP’s stated objective to enhance its digital capabilities. Further, the combination allows RGP to offer comprehensive end-to-end solutions to its clients by combining Veracity’s customer-facing offerings with RGP’s depth of experience in transforming the back office.
Kate Duchene, CEO of RGP, said, “I am beyond thrilled to welcome Veracity into the RGP family. With its proven track record of helping clients solve problems using digital solutions, Veracity offers us an instant and credible foundation upon which to build our digital innovation offerings. Most importantly, the cultural alignment here is compelling and undeniable – at its core, Veracity is a people-first business, just like RGP.”
Bhadresh Patel, CEO of Veracity expressed equal enthusiasm for the transaction: “We see an exceptional opportunity to accelerate Veracity’s momentum to grow and scale while delivering combined value to our and RGP’s client base around the world.”
Veracity will operate as a wholly-owned subsidiary of RGP. The Veracity brand and operations will remain intact, and the company’s leadership team will work in close partnership with RGP to scale healthy growth for Veracity in the coming years.