M&A
confidence high
sentiment positive
materiality 0.80
Korn Ferry to acquire AMS for ~$1.1B in cash and stock
KORN FERRY
- Purchase price ~£850M (~$1.1B): ~$881M cash + ~$255M in KFY stock (~3.6M shares, subject to 15% collar).
- AMS generates ~$650M fee revenue and ~$100M adjusted EBITDA on run-rate; KFY expects post-close run-rate EBITDA of ~$140M.
- Transaction expected to close in KFY's fiscal Q2 2027, subject to regulatory approvals (HSR, UK, Germany).
- Deal expected to be immediately accretive to EPS in first full year after transaction costs; adds >$1.5B in contract backlog.
- Funding: ~$300M cash on hand + ~$581M from existing revolver; stock issued under Section 4(a)(2) exemption.