Ratchet has 42 employees, earned approximately $5M in revenue in 2010 and serves clients throughout the Midwest including Chicago-based Navistar and several Fortune 500 corporations headquartered in the Twin Cities. The deal is expected to close on September 1st. Upon execution of the agreement, Ratchet will become a wholly-owned subsidiary of RBA, Inc. The combined company of 225 employees will expand its offerings in the digital marketing to include web, social and mobile applications, and offer comprehensive services in technology strategy, application development and measurement, collaboration, cloud computing, data management and business intelligence solutions. Revenue for the combined company is expected to be $35M at the end of their fiscal year, December 2011.
“We have been monitoring the direction of our industry and determining the best path to define new growth opportunities for our company which include expansion into the Digital Marketing and mobile technology service areas,” stated Mike Reinhart, RBA President and COO. “In order to keep up with the rapid pace of the market, we needed to align with a firm that already has deep expertise, a strong reputation and solid client relationships. Ratchet brings these attributes and aligns well with RBA’s culture.”
“We are excited to join forces with RBA. RBA’s deep IT expertise and Ratchet’s strong marketing relationships will result in a unique combination which enables us to expand our capabilities and be an end-to-end provider of technology solutions for businesses,” stated Martin Davis, Founder and President of Ratchet.