BTS Group Strengthens Its Position Through Nexo Acquisition

BTS Group Expands Its Footprint in Brazil with Nexo Acquisition

BTS Group AB (publ) has made a significant move to bolster its presence in Brazil and throughout Latin America by acquiring Nexo Pesquisa e Consultoria Ltda., commonly known as Nexo. This boutique consulting firm, which has been making strides since its inception in 2017, is based in São Paulo and boasts a robust performance in the consulting industry.

With an impressive revenue of about 12 million Brazilian Reales (approximately 2.1 million USD) projected for 2024 and a team of 21 skilled professionals, Nexo has established itself as a key player in providing transformative solutions connected to strategy, innovation, leadership, and organizational culture.

Nexo caters to a diverse client base, which ranges from local enterprises to larger multinational companies, across various sectors including financial services, consumer goods, and technology. Their contributions involve guiding these organizations through uncertainty, harnessing creativity, and aligning strategies through a dedicated focus on people.

Strategic Synergies and Growth Potential

By acquiring Nexo, BTS will enhance its service capabilities in cultural and transformation services. The existing clientele of Nexo presents minimal overlap with BTS, indicating ample opportunities for growth and synergy. This strategic acquisition allows BTS to effectively address the needs of clients in Brazil, expanding its operational footprint.

Philios Andreou, Deputy CEO of BTS Group and President of the Other Markets Unit, expressed enthusiasm regarding the acquisition: “Nexo is renowned for aiding leaders and organizations in tackling some of the most intricate challenges. Their team is cherished by their clients, and their offerings will elevate our established services in culture transformation.”

Bridging Culture and Strategy

Andreas Auerbach, one of the co-founders of Nexo, conveyed similar excitement, acknowledging BTS’s remarkable approach to integrating strategy with culture in large organizations. He noted that joining BTS provides Nexo the platform to amplify their impact and deliver greater value to their clients without compromising their core values.

As part of the acquisition, Nexo’s founders will integrate into senior management roles within the newly consolidated operation, leading the merged organization into its next phase of growth. This merger symbolizes greater collaboration and the pooling of resources, which will ultimately benefit clients in navigating the evolving business landscape.

Transaction Details and Future Outlook

The agreement entails an initial limited cash consideration, with further payments structured to occur between 2026 and 2028 based on the achievement of specific performance targets. In addition, a fraction of these subsequent payments will be executed through newly issued BTS shares. This strategic investment is already effective, establishing BTS’s ongoing commitment to broadening its service offerings.

BTS’s approach to acquisitions aims to expand its service portfolio, enhance geographic reach, and develop capabilities to support future growth within an increasingly fragmented market. Their long-standing history in helping organizations realize their potential will only be strengthened through this new partnership.

About BTS Group AB

BTS is a prominent global consulting firm that has its roots in Stockholm, Sweden. With approximately 1,200 professionals spread across 38 offices worldwide, BTS engages with a diverse clientele in the areas of talent consulting and traditional consulting frameworks. Over its 35-year history, BTS has been dedicated to addressing human-centric challenges, effectively teaching organizations to leverage cultural dynamics in improving performance through a range of methodologies including simulation, learning, coaching, and assessment.

As a publicly traded company on the Nasdaq Stockholm exchange under the symbol BTS B, BTS is committed to empowering leaders and organizations alike to achieve transformative results.

Frequently Asked Questions

What does the acquisition of Nexo mean for BTS Group?

The acquisition allows BTS Group to enhance its service offerings in culture and transformation, creating valuable synergies and expanding its footprint in Brazil.

How has Nexo performed since it was founded?

Nexo has shown consistent growth since its establishment in 2017 and is projected to generate approximately 12 million Brazilian Reales in revenue for 2024.

Who will lead the merged organization after the acquisition?

Nexo’s founders will assume senior management roles, ensuring continuity and leadership in the new structure.

What sectors do Nexo's clients come from?

Nexo serves a wide range of sectors including financial services, consumer goods, and technology, supporting both local and multinational clients.

What is BTS’s long-term strategy following the acquisition?

BTS aims to broaden its service portfolio, expand geographically, and continue enhancing capabilities to sustain future organic growth in a competitive market.

About The Author

Hi there, As a writer and financial specialist, Henry Turner is passionate about guiding people through the complex world of finance. Having worked in finance for many years, I am an expert at simplifying difficult financial ideas into understandable, useful insights for my blog and articles. My goal is to arm you with the confidence and information you need to make wise financial choices.

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