E3 Advisory — Acquisition by Ricardo plc
Australian infrastructure and strategic advisory consultancy E3 Advisory acquired by Ricardo plc, illustrating how specialist consulting expertise, established infrastructure-sector relationships and exposure to long-term infrastructure investment can support premium valuation multiples for management consulting businesses.
Acquirer
Ricardo plc
Year
2025
Country
Australia
Implied Enterprise Value
A$119m
Revenue
A$46.2m
Adjusted EBITDA
Not separately disclosed
Reported Adjusted EBITDA Multiple
8.6×
Industry
Management Consulting
Transaction
In December 2024, Ricardo plc announced the acquisition of an 85% stake in E3 Advisory, an Australian infrastructure and strategic advisory consultancy serving government and private-sector clients, with completion in January 2025. E3 Advisory specialises in transport, energy, water, mining and major infrastructure projects, and reported revenue of A$46.2 million for FY2024. The initial consideration for the 85% stake was A$101.4 million, with a reported enterprise value of approximately A$119 million for the business. Ricardo reported an acquisition valuation of 8.6× adjusted EBITDA, based on the 12 months ended 30 June 2024. The transaction included arrangements for acquiring the remaining 15% stake in the future. The acquisition expanded Ricardo's strategic advisory capabilities and Australian market presence.
Why the Premium?
- Specialist consulting expertise across transport, energy, water and mining infrastructure
- Established infrastructure-sector relationships with government and private-sector clients
- Strong profitability and exposure to long-term infrastructure investment
- Strategic expansion of Ricardo's Australian market presence and advisory capabilities
- Structured acquisition with pathway to full ownership
SME Takeaway
Ricardo explicitly reported an acquisition valuation of approximately 8.6× adjusted EBITDA for E3 Advisory, based on the 12 months ended June 2024. The implied enterprise value of approximately A$119 million and consideration of A$101.4 million for an 85% stake demonstrate how specialist consulting expertise, established infrastructure-sector relationships and exposure to long-term infrastructure investment can support premium valuation multiples for management consulting businesses. Revenue and EBITDA were not separately disclosed by the parties; the multiple was reported directly by Ricardo.
Disclaimer: Case study figures are based on publicly available information and are provided for illustrative purposes only. Transaction values, EBITDA figures and implied multiples may reflect different reporting periods, definitions and deal structures, and some multiples are calculated from disclosed figures rather than reported by the parties. They are not formal valuations, investment advice or a substitute for independent professional advice.