MSQ Partners backed in £37.5million deal

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MSQ Partners, the parent company of Stein IAS, The Gate, twenty-six and Smarts has received backing from LDC.

The “significant” investment from LDC and senior managers at MSQ Partners values the company at around £37.5m.

It means the exit of NVM Private Equity, which invested £7.8m in the company back in 2014, to support a management buy-out.

“Our team has worked incredibly hard over the past four years within their agencies and collectively to strengthen the range and depth of our individual capabilities and to refine our offer to clients.  We maintain a laser-like focus on quality and creativity and it is only with our employees’ and clients’ on-going support, and that of the team at NVM, that we have been able to deliver double digit annual growth over the period,” said Peter Reid, CEO of MSQ Partners.

“Our new partnership with LDC will enable us to embark on the next phase of our growth journey, giving us the resources to further invest in our individual agency’s capabilities and accelerate the roll-out of our multi-disciplinary model internationally, whilst retaining the employee-ownership ethos that has been key to our success. The team at LDC understands our vision, and with their financial firepower and strategic support they are the perfect partner to help us reach our long-term growth objectives.”

MSQ currently employs more than 600 people across 15 offices in the UK, Asia and USA.

“Peter and the team at MSQ have built a truly formidable business that is able to provide full-service, marketing communications services on an international scale,” added John Clarke, Investment Director at LDC in Manchester.

"The business retains its independence, agility and a culture that continues to attract some of the best talent in the market. It is this combination that continues to drive MSQ’s growth and we’re looking forward to partnering with the team as we support them with our expertise and significant investment on the next phase of their journey.”

The investment will be used to help the group grow “potentially through acquisition.”

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