FTI Consulting, a Baltimore-based advisor for corporations, law firms and financial institutions, has inked a deal to acquire Financial Dynamics for $260M.

FD, based in London, staffs more than 450 people across 17 offices and four business units - financial comms., brand comms., public affairs and crisis management, and business consulting. The companies said in a news release that 2006 revenue for FD would exceed $120M.

The deal consists of $215M in cash, $20M in deferred purchase obligations and $25M million in FTI stock.

FTI said FD will operate as a separate business segment run by its existing management team.

FD is owned by global private equity firm Advent International and FD senior management.

Charles Watson, FD's London-based CEO, called the merger a "perfect commercial, cultural and strategic fit for FD."

FTI president/CEO Jack Dunn said the move is a "unique opportunity" to reach the company's international expansion goals. He cited FD's senior level relationships with businesses and governments, along with its experience in business and financial communications.

Dunn said the integration is already in the works. FTI is moving to cut costs and restructure its U.K. and U.S. operations. It will take a $20M charge in Q3 for severance costs.

FD became the flagship IR and financial communications unit for parent Cordiant Communications in 2002, after the holding company merged a smaller FD with Morgen-Walke Associates. Cordiant, before it was eventually acquired by WPP Group in 2003, unloaded FD in a deal with its upper management led by Watson.