In 1967 with zero capital and zero clients, Mckelvey founded Telephone Marketing Programs (TMP) and captured approximately a 30 percent share of the national accounts segment of the U.S. yellow pages advertising market. Today TMP s market capitalization is $1.212B the highest for an on-line recruiting firm and or an executive search firm. Total revenues exceed $1 billion annually. Monster is the single most name recognizable entity in the recruiting industry.
Rationale:
Mckelvey leveraged the stock valuation of TMP to acquire O.C.C and The Monster Board in 1995. His timing was superb. Andrew, caught the Internet stock bubble at the perfect time. The stock s valuation enabled additional acquisitions including a group of executive search firms. In the late 1990 s TMP merged O.C.C. (The first major on-line career center, originally launched in 1993) into Monster.
Monster is the only truly international recruiting brand. Monster s brand has relevance across function, industry and geography. Although the combined entities do not presently create a synergistic profit picture or a revenue generating machine, the ability for leverage is just one M.B.A idea away.
Quotations:
'The upside is incredible,' May 30, 2001
“This acquisition will significantly expand our portfolio of services and our reach among job seekers and employers who view the Web as an essential channel for career management and finding talent,” 07/2001
'We remain convinced that this spin-off is in the best interests of TMP stockholders as we expect to unlock the true value of Monster, and position this new staffing and search enterprise to compete more effectively in the industry,'
Mar 17, 2003
About Andrew McKelvey
In 2000, Mr. McKelvey and his wife Dena established the McKelvey Foundation, a non-profit organization which assists talented college-age students reach their full potential. In it’s inaugural year, sixteen students from rural Pennsylvanian school districts received four-year scholarships to college. This year the couple granted over 100 scholarships to students from rural communities in Pennsylvania, New York and West Virginia at an estimated cost of $6 million a year. A select group of 50 will attend an entrepreneurship camp at Seton Hill College in Greensburg, Pennsylvania designed to enhance leadership skills, build self-confidence and open avenues to unlocking entrepreneurship potential.
