Pundit Consolidation: Forrester Buys JupiterResearch

In a consolidation of two tech market research shops, Forrester Research (FORR) announced that it is buying JunpiterResearch from MCG Capital (MCGC) for $23 million in cash plus assumed liabilities. Give credit to MCG, which bought Jupiter in March 2006 for $10.1 million and related liabilities from JupiterMedia (JUPM).

Forrester said JupiterResearch has 83 employees and 2007 revenue of about $14 million; Forrester had 2007 revenue of $212 million, and now has more than 1,000 employees.



Meanwhile, Forrester today posted Q2 revenue of $63.5 million and profits of 37 cents a share on both a GAAP and pro forma basis; the Street had expected $63.4 million and 34 cents. For Q3, the company sees revenue of $59 million to $62 million and pro forma profits of 27-31 cents a share; the Street has been looking for $59.1 million and 33 cents.

For the full year, the company sees revenue of $246 million to $252 million and pro forma EPS of $1.28 to $1.34; the consensus has been $242.2 million and $1.33.

FORR today is up 49 cents, or 1.5%, to $34.02.