The terms of the deal were not disclosed, however a Bloomberg report values the combined entity at more than $8bn.
According to the companies, the merged entity will create a leading global technology, analytics and data provider that offers clients a view of total retail purchasing and consumption trends powered by advanced, predictive analytics on the IRI Liquid Data technology platform.
By bringing together complementary data assets across a broad range of industries on a sophisticated data visualisation platform, the combined business is expected to empower brands and retailers to collaborate, better service their customers, respond to trends and leverage more powerful insights to drive growth.
NPD provides market information and advisory services for general merchandise, including softlines, technology and retail, as well as foodservice and food consumption. This will be combined with IRI's market measurement, supply chain and media optimisation solutions, technology platform, retail relationships and data assets for the CPG industry, which encompasses the grocery, convenience and over-the-counter healthcare categories.
We are thrilled to announce that IRI and @NPDGroup plan to merge and create a leading global technology, analytics and data provider that offers clients an innovative view of total retail purchasing and consumption trends.— IRI (@iriworldwide) April 7, 2022
To learn more, visit: https://t.co/GvMXhJx5ja pic.twitter.com/qAG60wJ9UD
Kirk Perry, president and CEO of IRI, said, "This combination is a win for IRI, NPD, our clients and our teams as we bring together two industry leaders to offer a total store view. We look forward to joining forces with the NPD team, which brings expertise in parts of the store that IRI does not cover today.
"As the global retail landscape continues to evolve, IRI and NPD will have innovative technology, analytics, data resources, talent and geographic reach to best support the growth of the world's leading brands and retailers. Our combined organisation will be well-positioned for continued innovation and success, backed by the expertise and resources of our new majority investor, Hellman & Friedman, alongside our long-term partners at Vestar Capital and New Mountain Capital."
NPD CEO Karyn Schoenbart added, "We are excited about the prospect of combining our companies to give clients the tools and information they need to succeed amid changing consumer behaviour. Both NPD and IRI share similar client-focused, innovative and collaborative cultures, making this combination a natural fit."
H&F, a premier global private equity firm, will acquire a majority stake in IRI and merge IRI with H&F portfolio company NPD. H&F will lead an ownership group consisting of existing long-term IRI investors Vestar Capital Partners and New Mountain Capital, which will both retain significant investments in the combined company.
Following the close of the transaction, H&F, Vestar and NMC will each have representation on the combined company's board of directors.
Kirk Perry will become CEO of the combined company and serve on the board. NPD executive chairman Tod Johnson will be chairman of the combined company's board, and Karyn Schoenbart also will join the board. Jeff Ansell, current chairman of IRI's board, will continue on the combined company's board as well. Johnson and Schoenbart will continue to lead NPD until closing and will remain investors in the combined company.
The transaction, which is subject to customary closing conditions, is expected to close in the second half of 2022.