Industry Related TransactionsGroundswell Group Acquired by Deloitte Canada
Sellside Advisor To Groundswell Group Inc.
7 Mile Advisors Acts as Exclusive Sellside Advisor to Groundswell Group Inc. in Their Sale to Deloitte Canada
This transaction will enhance Deloitte’s AI and cloud transformation capabilities in Western Canada.
CHARLOTTE, NC — Groundswell Group Inc. (“Groundswell”), a leading artificial intelligence (“AI”) and data integration firm, has been acquired by Deloitte Canada, marking the professional services firm’s second acquisition in 2021. Not only does this move secure Deloitte’s position as the number one artificial intelligence consultancy in Canada, but it also enhances Deloitte’s critical digital transformation capabilities – including machine learning, intelligent automation, and cloud data engineering – all of which have accelerated due to COVID-19.
7 Mile Advisors (“7 Mile”) acted as the exclusive sellside advisor to Groundswell throughout the sale process. This transaction marks 7 Mile’s seventh transaction in the IT Services space this year.
“Selling a company after 20 years of passionate hard work is tough, selling it during a world pandemic is outrageously challenging – Everest level. The folks at 7 Mile were our Sherpas. They guided, cajoled, and most importantly stuck with us through this very exhausting time for our company and for the world. They very quickly understood our business and the unique value we would bring to a suitor. We felt we tested the market, finding potential buyers from all parts of the global IT community,” said Darren Sartison of Groundswell.
“Data is the lifeblood of enterprise operations. As technology solutions continue to evolve, we are seeing the market get more comfortable with, and highly value, next-gen capabilities (Salesforce’s Mulesoft, Google Analytics and Cloud, Microsoft Azure, Snowflake and others) that are being pulled into the middleware/data integration layer to provide actionable and intelligent analytics. Service providers with extensive knowledge of the data environment are highly sought after and Groundswell is one of those top tier service provider examples paving the way for data transformation,” commented John Cooper, Managing Director at 7 Mile Advisors.
Founded in Calgary in 2001, Groundswell is the largest AI and data management firm in Western Canada. Groundswell brings to the table its strong end-to-end capabilities across AI, cloud data transformation, intelligent automation, business intelligence, data visualization, big data, and predictive analytics.
Recognized as a leader in AI and data in the Western market, Groundswell’s team of 133 employees will join Deloitte’s Consulting practice in Canada, as part of Omnia AI. Also joining the firm as new partners are former President at Groundswell, Darren Sartison, former Chief Operations Officer, Morgan Arndt, and former Vice President, BC operations, Adrian Hull.
“This is a bright and exciting next chapter for our team. Joining forces with Deloitte feels a little like we’re finally putting the puzzle pieces together,” said Darren Sartison, former President at Groundswell. “Our customers’ opportunities grow as the intersection of business and technology continues to merge. By combining Groundswell’s technical depth and capabilities with Deloitte’s comprehensive AI and Data offerings, from strategy to implementation to operations, we’re truly stronger together.”
Retaining its strong partnerships with industry leading vendors, Groundswell will also maintain its long-term success with key Western clients with employees joining Deloitte Canada in Calgary, Vancouver, and Edmonton. You can read Deloitte’s full announcement about the deal here.
Cloud, Digital Transformation, and Big Data service providers continue to drive M&A activity across the middle-market. As the data universe continues to expand, the demand for solutions and services enabling organizations of all sizes to produce real-time insights aiding enterprise-wide decisions has never been more relevant. These industries continue to be poised for a strong 2021, aided by growing adoption rates, need for focused solutions, and implementation demands.
7 Mile has successfully led 19 founder-owned businesses through a sale process since April of 2020, and remains committed to serving clients who are interested in exploring a liquidity event. For more information on 7 Mile’s services, visit www.7mileadvisors.com, or speak with an experienced advisor.
About 7 Mile Advisors
7 Mile Advisors provides Investment Banking & Advisory Services to the Business Services and Technology Industries globally. 7 Mile Advisors advises on M&A and private capital transactions, as well as provides market assessments and benchmarking. As a close-knit team with a long history together and a laser focus on our target markets, 7 Mile Advisors helps its clients sell companies, raise capital, grow through acquisitions, and evaluate new markets. All securities transactions are executed by 7M Securities, LLC, member FINRA / SIPC. For more information, including research on the M&A markets, visit www.7mileadvisors.com.
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