LONDON: Public Policy Holding Company, Inc. (AIM: PPHC) announced Thursday it has entered into a binding agreement to acquire Pine Cove Capital, LLC, a premier Texas-based strategic consulting firm, for an initial consideration of $3 million and a total potential value of $13 million.
The acquisition, expected to close in August, is anticipated to be immediately accretive to PPHC’s underlying earnings. Pine Cove Capital, led by former Texas Land Commissioner George P. Bush, will transition to Pine Cove Strategies, LLC and continue offering strategic consulting services while launching a Texas state government relations practice.
“This move aligns with our broader expansion strategy into key U.S. state capitals,” said PPHC CEO Stewart Hall. “Texas is a priority market, and Pine Cove’s strong local ties will reinforce our capabilities across the region.”
Upon completion, Pine Cove will join PPHC’s other state-focused subsidiaries, KP Public Affairs (California) and O’Neill and Associates (Massachusetts), while complementing the nationwide reach of MultiState.
Founded by George and Amanda Bush, Pine Cove Capital serves startups, established businesses and Fortune 500 companies. Over the 12-month period ending May 31, it posted unaudited revenues of $1.6 million and a 47% profit margin.
Initial payment includes $2.55 million in cash and $0.45 million in newly issued shares. Earnout provisions extend through 2028, tied to profit growth benchmarks.
An application for the New Common Shares to be admitted to trading on AIM will be filed, with further updates expected following closing.
Bush called the partnership “transformative,” adding, “Together, we are uniquely positioned to help clients achieve their goals in one of the world’s most dynamic markets.”