This morning, Heidrick & Struggles International announced that it had agreed to be acquired by a consortium led by Advent International and Corvex. The $1.3 billion all cash transaction will pay HSII shareholders $59 per share in cash, an approximate 26% premium to the 90-day volume weighted average price per share and a 21.2% premium to the closing price on Friday, October 3. The transaction was unanimously approved by the Heidrick Board of Directors and is expected to close by 1Q:26, subject to shareholder and regulatory approvals. Heidrick would then be a private company. We think there is a small possibility of another bidder emerging, particularly should an industry consolidator emerge. We raise our price target to $59 (from $56) to match the announced acquisition consideration. Our prior $56 price target was based on 14x our 2026 EPS estimate of $3.29, plus 30% of our projected year-end 2026 net cash per share forecast of $32.24, or $9.67. HSII's cash level tends to peak at the end of the calendar year, with consultant bonus payments made shortly thereafter during the first quarter of the following year. We estimate bonus payments to be 70% of our year-end net cash balance estimate. On a P/E-only basis, our $59 price target implies a 17.9x multiple to our 2026 EPS estimate, which is approximately a 5% premium to both the average forward P/E multiple over the last decade of 17.1x and our five-year EPS CAGR forecast of 17%. The acquisition consideration, free cash flow and the attractive balance sheet support both the multiple and our moderate risk rating, in our view.