COHO Acquisition: Key Details, Impact, and What Comes Next

ERM's acquisition of Coho marks a significant step in the sustainability sector. By integrating Coho's expertise in climate change, renewable energy, and water resiliency, ERM aims to bolster its capabilities in helping clients achieve their climate goals. This strategic move underscores ERM's commitment to addressing decarbonization and water optimization opportunities in a rapidly evolving industry.

What Is COHO?

Founded in 2010, Coho provides advisory services in climate solutions, clean energy, and water resiliency. Their core offerings include helping organizations achieve emissions targets, transitioning to zero-emission energy, and enhancing water management technologies. Coho differentiates itself with over a decade of experience, a dedicated team that supports clients through multiple projects, and tailored, objective advice. They emphasize creating internal alignment within organizations to drive faster and more impactful sustainability initiatives.

Who Acquired COHO?

ERM is a leading global provider of environmental, health, safety, risk, and social consulting services. The company offers a wide range of solutions, including Assurance & Certification, Climate & Net Zero, and EHS Management. ERM serves various sectors such as Chemical, Financial Services, and Oil & Gas. Positioned as a key player in the sustainability consulting industry, ERM significantly influences sustainability practices and policies, contributing to the promotion of sustainable business practices worldwide.

When Was COHO Acquired?

ERM acquired Coho on February 14, 2023. This acquisition aligns with significant industry trends, particularly the growing emphasis on sustainability and renewable energy. The timing is notable as it coincides with the opportunities presented by the Inflation Reduction Act, which aims to foster a new clean energy economy. This strategic move is part of ERM's broader efforts to enhance its capabilities in climate advisory and water resiliency, reflecting the increasing demand for comprehensive sustainability consulting services.

Why Was COHO Acquired?

• Market Expansion: The acquisition of Coho allows ERM to expand its reach and services globally, providing Coho's expertise to both new and existing clients. This expansion is highlighted by Gary Farha's statement about accelerating their impact on the market and climate through joining ERM.
• Technology Integration: Coho's services include support for electric vehicle transitions and low-carbon technology solutions, which implies a focus on integrating advanced technologies for sustainability. This integration enhances ERM's existing digital services, bolstering their technological capabilities in renewable energy and water resiliency.
• Competitive Advantage: By acquiring Coho, ERM enhances its competitive advantage by adding Coho's specialized expertise in climate, renewable energy, and water consulting. This acquisition allows ERM to offer a broader range of services and solutions to its clients, helping them achieve their sustainability goals more effectively.

Acquisition Terms

• Acquisition Price: The acquisition price was not publicly disclosed.
• Payment Method: The payment method was not specified.
• Key Conditions or Agreements: Specific conditions or agreements were not explicitly mentioned. However, the strategic alignment and mutual benefits, such as expanding Coho's services globally and integrating expertise to help clients achieve sustainability goals, were emphasized.

Impact on COHO

The acquisition of Coho by ERM has led to significant changes in operations and management. Coho's team of over 50 strategy professionals has been integrated into ERM's existing workforce, particularly around Washington DC. This integration aims to enhance ERM's capabilities in climate change, renewable energy, and water resiliency consulting. Coho's founder and CEO, Gary Farha, expressed enthusiasm about the acquisition, highlighting the opportunity for Coho's team to expand their impact and develop both personally and professionally by joining ERM.

In terms of product offerings, the acquisition has broadened ERM's service portfolio by incorporating Coho's expertise in emissions reduction, renewable energy procurement, electric vehicle transitions, and water resiliency. This expansion allows ERM to provide more comprehensive solutions to its clients, helping them achieve their sustainability goals more effectively. While specific customer reactions were not detailed, the enhanced capabilities are expected to be well-received. For founders considering business transitions, tools like Sunset can assist in managing such processes compliantly, ensuring a smooth and successful transition.