Mercer to Acquire ORC Worldwide, Creating an Unparalleled Provider of Human Resource Information
- Transaction creates the pre-eminent leader in international HR information and talent management solutions
- Acquisition strengthens related consulting, conference and educational services
- ORC's international positioning complements Mercer's global network and capabilities
June 23, 2010
NEW YORK—Mercer announced today that it has signed an agreement to acquire ORC Worldwide, to become an unparalleled provider of global human resource intelligence and to further strengthen related international consulting, conference and educational services. Both firms have a significant global presence. ORC's strong market position and reputation in the United States, particularly in the area of international assignment expertise, complements Mercer's worldwide research capabilities and extensive global network of offices.
The transaction is expected to close in the third quarter of 2010. Terms of the agreement were not disclosed.
Both Mercer and ORC are known for their leadership in employee mobility information and related administrative applications, international talent management consulting, and extensive compensation and workforce data. In addition to its SIRS® compensation surveys, ORC is well regarded for its global peer networking services, educational seminars and conference services which include 35 peer networks that allow senior HR and health, safety and environmental professionals to share best practices.
"Clearly, this combination will further enhance Mercer's market position as the provider of choice for solutions around global workforce management," said M. Michele Burns, Chairman and Chief Executive Officer of Mercer. "ORC's solid US reputation and capabilities complement those of Mercer, and together we have strong positions in the United States, Canada, Europe, Latin America and Asia Pacific. The joint venture in Japan, YORC, adds further strength to our business in this market. This transaction demonstrates Mercer's commitment to invest in businesses that provide long-term strategic growth and to enhance high-quality services that benefit clients."
While Mercer's information business, in combination with ORC, will be well-positioned for future growth, providing top-tier service to existing clients remains first and foremost the objective of the merged business.
"The combined organization that will result from our global integration gives our clients access to an unrivalled set of products and services. In the expatriate space, ORC and Mercer together will become the undisputed leader in terms of client and geographic coverage. No other full service HR firm is able to match our combined breadth of service and data products," said Robert J. Freedman, President and Chief Executive Officer of ORC. "Talent management – especially in the global sense – is a clear focus today for multinationals. Understanding and being able to efficiently use expatriate data and program policy is critical for leading global organizations, from for-profits to INGOs. Our combined services will help our clients achieve their desired business objectives."
"We share a complementary, attractive client base and both ORC and Mercer have employees who are recognized as the thought leaders in their profession," said Ilya Bonic, Senior Partner and global leader of Mercer's Information Product Solutions business." This transaction provides the opportunity to create a best-of-the-best organization as one of the world's premier providers of HR information and insights for professionals in numerous industries. This knowledge base, together with our consulting expertise, will position us to be an exceptional, trusted resource for the clients of both firms. Together, ORC and Mercer can help our clients anticipate and effectively address their most difficult HR issues on a global basis. But more than that, we are uniquely positioned to help companies motivate and engage employees to achieve true long-term success."
As a combined organization specializing in human resource information and related consulting, Mercer and ORC will serve more than half of the companies in the S&P 500, the FTSE 100 and the FT Global 500, and more than one-third of the DJ Global 1800 as well as many midsize firms, non-governmental organizations and non-profit institutions.
Mercer is a leading global provider of consulting, outsourcing and investment services. Mercer works with clients to solve their most complex benefit and human capital issues, designing and helping manage health, retirement and other benefits. It is a leader in benefit outsourcing. Mercer's investment services include investment consulting and multi-manager investment management. Mercer's 18,000 employees are based in more than 40 countries. The company is a wholly owned subsidiary of Marsh & McLennan Companies, Inc., which lists its stock (ticker symbol: MMC) on the New York, Chicago and London stock exchanges. For more information, visit www.mercer.com.
About ORC Worldwide
Tracing its roots to 1926 as a staff of industrial relations specialists dedicated to advancing the effectiveness of organizational and human relationships in the workplace, ORC Worldwide has evolved into one of the world's premier providers of HR knowledge, data and solutions for professionals in numerous industries. For more information, visit www.orcworldwide.com.