BearingPoint acquires UK public services consultancy Prederi
Public services specialist Prederi has been snapped up by BearingPoint for an undisclosed sum. The acquisition of the company increases BearingPoint’s headcount in the UK with around 30 professionals and broadens its public service capabilities.
Global consulting firm BearingPoint enjoyed a year of consistent growth in 2018, despite going through a number of transitions. Alongside the installation of Kiumars Hamidian as the firm’s leader, BearingPoint also launched a new office in Luxembourg and integrated two firms into its make-up. The consulting firm expanded revenues by 4% globally.
Growth of the firm’s United Kingdom and Ireland wing stood out. A release from BearingPoint stated the region performed “far above the market average”, though it did not specify by how much. 2018 saw growth of 5.6% for the UK consulting market, slowing considerably on 2017 levels in the shadow of Brexit uncertainty.
Now, as BearingPoint looks to continue its growth in the UK through 2019, the firm has made a strategic acquisition with the purchase of Prederi, a consultancy focused on public services in the UK. The deal is aimed at supporting BearingPoint’s overall growth objectives, strengthening its presence in the UK, and broadening its public service capabilities.
Prederi provides expert advice and consultancy and serves a large number of prestigious UK public sector clients. The firm’s clients include the NHS, local government, regulators and a range of Central Government departments, including the Ministry of Defence, Home Office and the Department of Health. Prederi’s capability spans finance, strategy, digital, change management, and learning and development, and the firm extends its effect through partnerships with a range of industry players.
Focus on public services
The purchase sees Prederi’s team expands BearingPoint’s expertise and capabilities in one of the largest public services markets in Europe. The public sector accounts for more than a fifth of the UK consulting market’s clients, and with Brexit continuing to see a depleted state attempt to complete major legal and infrastructural changes – despite having cut back swathes of its civil service in the last decade – its demand for consultants has seen a sharp rise in recent years. At the same time, digital transformations and austerity drives have seen spending by local councils on consultants hit £400 million, rising more than 20% since 2014.
Speaking on the deal, Kiumars Hamidian, Managing Partner of BearingPoint said, “With the acquisition of Prederi we are continuing our growth strategy with consultancies that are highly focused and strongly differentiated. Prederi's portfolio is a perfect complement to our public service strategy and supports our strategic growth areas.”
“Joining forces with Prederi is an important step as we continue to broaden our capability footprint in the UK. Prederi has a strong strategic, operational and cultural fit with our existing UK business. It is after LCP Consulting [a supply chain consultancy] another highly focused acquisition,” added James Rodger, Regional Leader UK and Ireland for BearingPoint.
Stewart Johns, Managing Director of Prederi, meanwhile stated, “We are delighted to team up with BearingPoint. Our passion has always been to provide a high quality and value or money consulting and training service to UK Central and Local Government and the NHS. Being with BearingPoint will enable us to accelerate our growth sustainably and to enhance and extend what we can do for our clients in today’s challenging climate.”
Johns co-founded Prederi in 2012 after previously serving Boxwood (now part of KPMG), education provider Tribal and PwC. Co-founder John Higton had formerly worked for The Berkeley Partnership and Accenture.
