DETROIT -- LMC Automotive, an arm of British consulting firm LMC Group, is acquiring the automotive forecasting division of J.D. Power and Associates.
Terms of the deal, which is effective immediately, were not disclosed in a Tuesday press release.
About 35 J.D. Power employees will now work for LMC, said John Humphrey, senior vice president of global automotive operations for JDPA.
"For quite a long time, since the mid '90s, there's been a working relationship with J.D. Power to develop and work on and sell forecasting products," said Jeff Schuster, formerly the head of automotive forecasting for J.D. Power, now the senior vice president of forecasting for LMC.
"That led to an acquisition where J.D. Power acquired the European forecasting business back in 2004, so it's basically going back to LMC as a whole unit.
"The rationale from the LMC side of it was to focus on the automotive forecasting business and develop additional new products," Schuster said. As a result of the acquisition, Schuster said all of the forecasting staff formerly of J.D. Power is now a part of LMC.
"We're also going to be looking at expanding the staff both here in the U.S. as well as internationally," he said.
All of Power's forecasting-related business, said Schuster, will now be part of LMC Automotive.
"The key to this deal is the strategic alliance that goes along with it," Humphrey said. "(LMC) will now have the rights to commercially sell the data. They purchased that, so now all the sales and production forecasts previously produced under JD Power, they have that. In the alliance agreement, we still have the rights to use that in conferences and presentations and so on."
According to its press release, LMC Automotive provides market intelligence, analysis and advice to clients who include most of the major organizations around the world involved with agribusiness, commodities, foods, industrial materials, biofuels and their end-markets. It is based in Oxford, England.
"We look forward to concentrating on our goal of aligning our products to meet the ever-changing needs of this dynamic industry and providing the best automotive forecasting and market intelligence services available," Pete Kelly, managing director of LMC Automotive, said in a statement.