ZRG Partners Opens New Office in Mexico City
December 11, 2023 – Following recent growth in Middle East, South America, Europe, the U.K., and Australia, ZRG Partners has expanded with the addition of a new office in Mexico City. The office will be led by managing director Pablo Perella-Berdun and senior advisor Hugo Lara. “The new office of ZRG Partners Mexico SRL de CV is positioned to deliver their tech-enabled analytic suite of talent management solutions to clients with operations in this very important market,” the search firm said.
“Mexico is the biggest trading partner of the United States,” said Nate Frank, president of ZRG executive search division. “As of July 2023, Mexico was the source of 15 percent of U.S. imports, compared to 14.6 percent from China, and comprises a growing share of U.S. imports in many manufacturing sectors where ZRG has strong relationships, such as the automotive, machinery, and medical devices industries. Mexico’s own market expansion has also been driving growing demand for our financial, professional services & technology, and education practices.”
Mexico City is the capital and largest city of Mexico and the most-populous city in North America. It is one of the most important cultural and financial centers in the world. Mexico City is also among the most important economic hubs in Latin America.
Mr. Perella-Berdun has five years in executive search and talent development in Mexico and previously enjoyed a 27-year corporate career in consumer, medical device, hygiene & safety products, and specialty chemicals, including Kimberly-Clark where he led local, regional, and global roles for over 20 years.
Prior to joining ZRG, Mr. Lara was a senior client partner, industrial and advisory leader, as well as the office managing director at Korn Ferry. Previously, he held senior management roles at Mexichem (now Orbia), Vitro, Parmalat, S.C. Johnson, and Grupo Christianson. In addition, Mr. Lara has participated in several associations and boards, including the Board of Regal Forest, Quality Post, Union de Crédito para la Contaduría Pública, Grupo Prez, Cervecería Centro Americana, Endeavor, and the Nuevo Leon State Board of Clusters. He is also the co-founder of The Morphing Group LLC, a business transformation advisory firm.
Related: ZRG Acquires Helbling & Associates
ZRG, founded in 1999, is a mid-sized global executive search firm and one of the fastest growing in the search industry. It provides a full suite of executive, middle management, and customized search solutions through its offices in North America, Europe, South America, and Asia. The firm finds leaders across a broad spectrum of business markets, including aerospace, consumer, education, healthcare services, and solutions, industrial, life sciences, non-profit, private equity and venture capital, and technology. ZRG is based in Rochelle Park, NJ. The firm is backed by private equity firm RFE Investment Partners.
Secondary Equity Investment
At the end of last year, ZRG secured a new secondary equity investment from a consortium of new and existing institutional investors led by Timber Bay Partners. “We see tremendous opportunity to acquire great businesses in the recruiting and talent advisory areas that will augment our organic growth across all of our business lines,” said Mr. Hartmann. “The new equity capital and expanded credit facility provide ample dry powder for our organic and acquisition growth plans. Additionally, we will continue to invest in our disruptive Zi technology platform and grow our interim and consulting businesses in tandem with our core executive recruiting deliverables.”
ZRG Partners’ Swift and Strategic Road to Expansion
Larry Hartmann is a seasoned veteran of the people business. As the chief executive of ZRG, he leads one of the fastest growing, global talent management hubs in the human capital sector. It wasn’t always this way. Mr. Hartmann founded ZRG 24 years ago on the core principle of building a better recruiting platform. Simple enough. Today, that vision has extended to a $230 million data-driven suite of talent and consulting offerings, including culture transformation, leadership assessment, executive coaching, strategic communications, RPO, and interim solutions. The firm is a perennial leader in Hunt Scanlon Media’s Top 10 rankings.
ZRG’s expansion effort, according to rivals, has been swift and strategic. Less than a year ago, ZRG secured a secondary equity investment from a consortium of new and existing institutional investors led by Timber Bay Partners. It has used that capital and an expanded credit facility to continue an acquisition journey that has produced 11 deals over the past four years.
This capital has helped accelerate ZRG’s acquisition and hiring efforts as the company continues to build out a full suite of offerings to help clients solve people problems. The new equity round included increased support from existing investors as well as a number of new institutions. RFE manages the equity consortium and maintains a control equity position.
“ZRG has an exceptional track record of supporting and growing acquired companies that have all thrived under ZRG’s resources and unique culture,” said Michael Rubel, managing director at RFE. “This new capital accelerates our strategy of partnering with great new human capital people and brands.”
Atlantic-Pacific Capital served as exclusive global financial advisor and placement agent. Truist Bank served as the sole lead arranger for the new credit facility. Specific financial terms were not disclosed.
Related: ZRG Acquires Interim Education-Focused Search Provider The Registry
Contributed by Scott A. Scanlon, Editor-in-Chief; Dale M. Zupsansky, Executive Editor; Lily Fauver, Senior Editor – Hunt Scanlon Media
