In a significant development, Burrell Communications Group, a renowned Black-owned advertising agency, has been acquired by Evolve Holdings, a consortium led by Channing Johnson, an attorney at Loeb & Loeb in Los Angeles, through his investment company View Park Capital, and Black-owned private equity firm FVLCRUM Partners.
Burrell Communications Group, founded by industry trailblazer Tom Burrell in 1971, has been an influential player in the advertising industry, specializing in multicultural marketing. The exchange involves the sale of the majority stake owned by Burrell’s Co-CEOs, McGhee Osse and Fay Ferguson, who have held these positions since 2004, and the 49% stake owned by Publicis since 1999.
While the financial terms of the deal have not been disclosed, the move marks a significant shift in ownership for the agency.
“We are truly excited for Burrell’s next chapter,” states Osse. “It was pivotal to Fay and me to transition the company to a team that would be committed to investing in the agency, growing its capabilities and reach in the years ahead and maintaining the talent and culture that makes Burrell special.”
“Having jointly led Burrell for nearly two decades,” added Ferguson, “McGhee and I sought to ensure that the new ownership shared our vision, standard of values, and maintained Burrell’s Minority Business Enterprise (MBE) designation. We are also thrilled about their selection of Tara as CEO. We’ve gotten to know her throughout this process, and she has shown tremendous energy and enthusiasm coupled with a commitment to the agency’s future.”
According to AdAge, a key development accompanying this acquisition is the appointment of Tara DeVeaux as the new CEO of Burrell Communications Group. DeVeaux, who brings extensive marketing and advertising experience to her role, was previously the Chief Marketing Officer at Los Angeles-based independent agency Wild Card Creative Group. She also served as the Managing Director of the agency’s creative content division, 3AM, and has held leadership positions at prominent agencies like SpikeDDB and BBDO.
“I am excited and inspired by the opportunity to take on this role at what is a pivotal time in Burrell’s history,” says DeVeaux. “With multicultural consumers driving most general market trends, the line between general market and multicultural advertising has never been grayer. Understanding where these consumers are now helps brands to project where they need to be in the near future, and that’s always been Burrell’s strength. I plan to build upon that legacy through a concentrated focus on data to deliver fresh insights and renewed creativity across all platforms so we can continue to be a vital partner in growing our clients’ business.”
One of the primary objectives of Tara DeVeaux in her new role is to position Burrell Communications Group for consideration in general market work, beyond its strong performance in Black and multicultural marketing. She aspires to challenge the industry’s tendency to stereotype Black and Brown people’s contributions, stating,
DeVeaux told AdAge, “To me, it’s crazy that in every part of modern-day culture, Black people are creative leaders and icons, Black and Brown people are creating the culture in music, fashion, film, TV, and creating a culture that’s incredibly meaningful to billions of people worldwide. And yet when we look at marketing and advertising we are, with few exceptions, put into a box.”
Johnson, the driving force behind the acquisition and chairman of 1Community, a film and TV production company known for projects like Just Mercy and Respect, has taken on the role of Chairman of Burrell Communications Group. He aims to explore new areas for investment that can help the agency grow. The agency, which currently employs 135 individuals, will witness a substantial investment in digital, experiential, and entertainment to support its expansion.
What attracted Johnson to Burrell Communications Group, aside from its storied legacy, was its remarkable ability to retain long-term clients such as McDonald’s and Toyota. The agency’s client roster also includes major brands like Coca-Cola Co., Comcast, Fidelity, Deloitte, FIFCO, Southern Company, and the American Red Cross.
Discussing the transition of ownership, Osse and Ferguson mentioned that they had been contemplating succession plans for some time. Their priority was to ensure that the new ownership shared the agency’s values and commitment to excellence in multicultural marketing. Although Tom Burrell has not had a stake in the company since 2004, the co-founders are pleased that his name will continue to be associated with the agency.
The acquisition comes at a time when FVLCRUM Partners, in August, raised $302 million in a fund dedicated to investing in diverse companies with significant growth potential. While the private equity firm has not confirmed whether this fund was utilized for the acquisition of Burrell Communications Group, the move represents a major shift in the advertising industry, with Black ownership and leadership taking center stage in a space historically dominated by large conglomerates.
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