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Resources Connection to acquire Accretive Solutions for $19 million plus stock

November 02, 2017

Resources Connection Inc. (NASD: RECN) agreed to acquire Accretive Solutions Inc., a Chicago-based firm that provides consulting, staffing and outsourcing services. It has eight offices across the US. The deal calls for Resources Connection to pay $19.4 million in cash plus 1.15 million shares of restricted common stock. It’s projected to close in Resources Connection’s fiscal third quarter.

Accretive will transition into the RGP brand over the next six to nine months except for its Countsy brand, which provides a back-office suite of services to startups. Some members of the Accretive senior leadership team, including CEO Kerry Barrett, will remain with the organization.

“The addition of Accretive’s talented team and extensive capabilities will greatly strengthen our position in key US markets and allow us to add subscription-based services to our offerings,” President and CEO Kate Duchene said. “Accretive’s complementary business model and service offerings will also help us achieve deeper penetration with our existing clients and increase RGP’s share in the middle market — two of our key growth initiatives.”

Resources Connection operates as Resources Global Professionals and the Irvine, Calif.-based firm ranks as the sixth-largest US provider of finance/accounting staffing.

The Accretive transaction follows RGP’s September acquisition of a German professional services firm called “taskforce - Management on Demand AG.”