Stagwell (STGW) Completes Divestment of ConcentricLife to Accenture for $245 Million

Rhea-AI Summary

Stagwell has completed the sale of ConcentricLife to Accenture Song for $245 million in cash. The proceeds will be reinvested towards Stagwell's core strategic initiatives.

NEW YORK, Nov. 1, 2023 /PRNewswire/ -- Stagwell (NASDAQ: STGW), the challenger network built to transform marketing, today announced it has completed the sale of healthcare and wellness marketing agency ConcentricLife to Accenture Song, the tech-powered creative group of Accenture (NYSE: ACN), for $245 million in cash. Proceeds from the transaction, first announced on October 25, 2023, will be reinvested towards Stagwell's core strategic initiatives.

"The sale price sees Stagwell realize an impressive return on our initial investment in the business, providing us with capital to invest and grow while also improving the balance sheet," said Mark Penn, chairman and CEO, Stagwell. "ConcentricLife is one of many examples in our portfolio where partnership with agency leadership has led to our brands growing into award-winning, well-run businesses of high value."

About Stagwell
Stagwell (NASDAQ: STGW) is the challenger network built to transform marketing. We deliver scaled creative performance for the world's most ambitious brands, connecting culture-moving creativity with leading-edge technology to harmonize the art and science of marketing. Led by entrepreneurs, our 13,000+ specialists in 34+ countries are unified under a single purpose: to drive effectiveness and improve business results for their clients. Join us at www.stagwellglobal.com.

IR CONTACT:
Ben Allanson
ir@stagwellglobal.com 

PR CONTACT:
Sarah Arvizo
pr@stagwellglobal.com

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SOURCE Stagwell Inc.

FAQ

What is the name of the company that sold ConcentricLife?

The company that sold ConcentricLife is Stagwell.

Who acquired ConcentricLife?

ConcentricLife was acquired by Accenture Song.

What was the sale price for ConcentricLife?

The sale price for ConcentricLife was $245 million in cash.

What will Stagwell do with the proceeds from the sale?

The proceeds from the sale will be reinvested towards Stagwell's core strategic initiatives.

Who is the chairman and CEO of Stagwell?

The chairman and CEO of Stagwell is Mark Penn.