Private-equity-backed Lucid Group further bolstered its ability to service the biopharma sector, acquiring highly regarded science and technology firm DiD Agency, the companies announced Wednesday.
The deal, which closed June 1, is the latest instance of healthcare marketing companies building broader capabilities and reach through M&A. Terms were not disclosed.
No layoffs were expected and DiD’s new owners plan to keep co-managing partners Elyse Cole and Bill Fay, along with the rest of DiD’s management team, squarely in place. DiD founder and president Rick Sannem will report to Dennis O’Brien, Lucid Group’s CEO.
“We’re not a buy-and-build organization,” O’Brien said. “We’re creating groups of like-minded people trying to make a contribution to healthcare and we’re committed to the long-term. With DiD, that’s what we found.”
Fay cited Lucid Group’s deep bench of medical expertise as a motivating factor behind DiD’s decision to join forces. He also noted that most of Lucid Group’s business stems from the U.K and EU.
“The industry continues to grow globally and shift to higher-science, and we want our capabilities to do that,” Fay said.
Lucid Group’s standalone companies span medical-communications shops Lighthouse, Lucid and HealthCare21, along with creative and digital consultancy Bluedog. Of those, only Lighthouse has a U.S. presence. DiD, headquartered in Ambler, Pennsylvania, fills that particular gap.
Besides adding scientific storytelling, media buying and data analytics capabilities, DiD marks Lucid Group’s first acquisition backed by its new investment partner, Intermediate Capital Group (ICG).
Founded in 2007, Lucid Group is one of a number of companies pursuing an integrated approach to serving life science clients. Other examples of overseas-based firms acting out their ambitions through M&A this year include Fishawack Health, which bought Chicago’s Closerlook and Minneapolis’s StoneArch, and Ashfield Engage, which scooped up New Jersey life science consultancy Nuvera.
DiD’s revenue increased 12% during 2020, to $25.3 million from 2019’s sum of $22.5
million. Lucid Group said that DiD’s 140-person staff raises total company head count to more than 400 people.
O’Brien noted that, with ICG “keen to invest,” it’s on the hunt for new capabilities to add to its stable. “We’ll take our time to make sure we build the right capabilities with DiD, but of course we’ll look. If there’s something that can add value to client conversations and there’s willingness, of course we’ll do it.”