Stagwell Inc. (NASDAQ: STGW)–which maintains a network of varied shops, including such agencies as 72andSunny, Anomaly, Crispin Porter Bogusky, Doner, Colle McVoy and Forsman & Bodenfors–has acquired the remaining 49% of Instrument, a digital brand and experience innovation company. Founded in Portland, Oregon, Instrument employs over 400 people working on clients including Nike, Google, Salesforce and Epic Games. Stagwell’s predecessor company, MDC Partners, had acquired 51% of Instrument in 2018.
“Instrument is all in with Stagwell,” said Stagwell chairman and CEO Mark Penn. “Instrument is a first-rate digital company, having grown over 30% annually in each of the past two years. The entire leadership team has done an excellent job of growing their business while developing a culture of innovation, inclusion and outstanding client service.”
Stagwell’s additional investment in Instrument fully aligns Stagwell with one of its fastest-growing businesses, provides for easier-to-scale digital operations and creates greater certainty for investors through full-ownership. The deal includes a fixed payment amount spread across a three-year term, split between cash and stock in STGW. This mutually beneficial structure provides Instrument’s management with appropriate incentives for their efforts and creates significant shareholder value.
“We believe in Instrument’s future with Stagwell and are pleased to take the final step into the network,” said Instrument CEO Justin Lewis, citing the growth and development opportunities that Stagwell’s investment will provide.
