Scout’s principals, from left, are Bob Costanza; Raffi Siyahian; Jennifer Brekke; and Allen Stegall.

Scout, a specialty pharmaceutical advertising agency, has been acquired by a private equity fund. The agency was picked up by Stagwell Media LLC, the fund of the Stagewell Group.

“Adding Scout to our growing portfolio gives Stagwell a core platform in the competitive healthcare sector around which we can add even more capabilities,” said Mark Penn, managing partner and president of The Stagwell Group. “In addition, Scout’s consumer group has a unique process for humanizing brands, and is strongly focused on the ‘mom’ consumer who I believe are key to marketing success.”

Other members of the Stagwell Group family include: research leader Harris Insights & Analytics, performance marketing firm PMX Agency, creative digital leader Code and Theory, strategic communications agency SKDKnickerbocker, entertainment research innovator National Research Group (NRG), public relations firm Finn Partners, communications agency Wye Communications, digital advocacy shop Targeted Victory, creative advertising consultancy Wolfgang, and technology innovator Stagwell Technologies.

According to agency executives, Scout’s specialty healthcare group has a strong presence in the neurology and immunology space, as well as a strong portfolio of pharmaceutical clients and recently entered the medical device space. Executives say the core component of Scout’s consumer division is its Human Brand Method — finding meaningful connections between brands and people that drive profoundly relevant strategy and creative solutions.

“It’s our combination of deep expertise in scientific marketing combined with a robust practice of insight- driven consumer marketing that makes Scout stand out,” said Jennifer Brekke, CEO and principal of Scout. “We embrace the opportunity to join a company like Stagwell who, in our view, is reinventing the agency holding company model. We were resolute in avoiding the typical holding company model with bureaucracy and overlapping agencies. We were drawn to Stagwell’s platform, which we see as nimble, progressive and focused on digital innovation.”

Agency executives say the offer from Stagwell was appealing because the investor’s structure would allow Scout to enhance its service offering for clients and to attract future clients. “In that regard, Stagwell’s unique model, a holding company with complementary service offerings, was particularly attractive as it gives Scout immediate access to resources such as enhanced analytics and research surrounding market drivers, trends and motivators. What was equally compelling was Stagwell’s desire to support and build on the Scout ‘Be Brave’ culture,” executives say.

The agency currently has offices in Atlanta, Chicago, and San Diego and more than 140 employees. Although Scout and Stagwell will continue to look for opportunities to expand offerings within the Scout organization, executives say there are no immediate plans to add locations.  “However, as mentioned, we are always looking for ways to enhance our offering,” Scout’s managers say. “Therefore, if adding a location in the future is appropriate for our growing business, it will be seriously considered. There are specific areas of the country we recognize as attractive opportunities to leverage our expertise in the rare disease and specialty pharma market.”

For clients, the acquisition brings the opportunity to recognize and leverage the expanded service offerings via the Stagwell network as well as the expanding suite of digital services within the walls at Scout. “However, it’s perhaps what they won’t notice that will be equally as attractive,” executives say. “There are no plans to change the core tenets of Scout.  We will remain the agency that provides brave marketing ideas and executions for specialty pharma and rare disease therapies. Our management team will remain unchanged as will our commitment to our clients and to the people for whom they create life-enhancing therapies.”