IP candidate for governor Tom Horner, who drew attention for his work at the PR firm he founded, said Monday he would sell all his stock in Himle Horner, Inc.

"With the transaction, Horner will have no financial or professional involvement with Himle Horner. He will continue to provide strategic communications counsel to Twin Cities hospitals, but will do this outside of Himle Horner's work for the hospitals. Horner will not work with any other clients during his gubernatorial campaign," said a release from his campaign.

The Star Tribune editorial page, amplified by Republican calls, said Horner should disclose his complete client list last week. Himle Horner has had clients who are involved in significant state issues, including the Vikings, Blue Cross and Blue Shield, the Mayo Clinic and Canterbury Park.

(update)

Horner said he will continue advising the heads of the hospitals currently in labor negotiation with the nurses union. The hospitals will remain a Himle-Horner client but Horner will give them strategic communications advice on a per hour basis.

Horner would not say how much he will make by divesting himself from the firm.

From the Horner campaign:

MINNEAPOLIS/ST. PAUL (June 14, 2010) Independence Party gubernatorial candidate Tom Horner announced today that he has reached an agreement to sell all remaining stock in Himle Horner Inc., the firm he co-founded in 1989. Horner began the sale of shares in Himle Horner in 2008 when Todd Rapp, now the firm's president, purchased half of Horner's ownership. The company is buying the remaining shares in a transaction that is effective June 14.

"I'm very proud of the firm I helped start more than 20 years ago," said Horner. "I've had the opportunity to contribute to improving and growing Minnesota, to create a successful business and to work with great clients and the finest colleagues in the business.

"But I also believe strongly in the obligation of people to return a share of their success to the community. I've long been involved in the community through nonprofit organizations, and felt that I could do more. My wife Libby and I made the decision more than two years ago that we wanted to explore different opportunities in our lives over the next few years, including different ways in which we could we could serve Minnesota," said Horner. "While running for public office wasn't one of the options we considered, we are able to take that path because we had opened the door to new opportunities by reducing my business obligations."

Horner earlier had announced that he intended to take a leave of absence during the campaign and had pledged that if he is elected governor, he will sell all his shares in Himle Horner. "The opportunity to finalize the transition that started two years ago presented itself and it made the most sense for my family, the business and my colleagues," said Horner. "While a sale of stock takes longer to work out than a leave of absence, I'm pleased that a deal was struck that makes sense for everyone involved."

With the transaction, Horner will have no financial or professional involvement with Himle Horner. He will continue to provide strategic communications counsel to Twin Cities hospitals, but will do this outside of Himle Horner's work for the hospitals. Horner will not work with any other clients during his gubernatorial campaign.

Horner, Himle Horner co-founder John Himle and Rapp started planning the transition prior to Horner's filing to be a candidate for governor. "Selling a professional services firm takes time," said Horner. "I owed it to my colleagues to make sure the transition was done well from their perspective and from mine.

"I also hope that with the transaction now complete, other candidates and their political parties will focus on the issues of importance to Minnesota," said Horner. "I am appalled that some people and candidates are so willing to attack the reputation and integrity of others solely for political gain. To the credit of Minnesotans, it's clear that those efforts have backfired. Support for my candidacy is growing and is coming from Minnesotans across the political spectrum."

From Himle-Horner: (update)

MINNEAPOLIS, MN ….. Himle Horner Inc. announced it has purchased the remaining shares held by the firm's co-founder, Tom Horner, completing an ownership transition plan that was initiated more than two years ago. With this transaction, Tom Horner will no longer have any ownership stake in the company and will leave his role as an employee, officer and director. Himle Horner Inc. will now have two shareholders -- co-founder and CEO John Himle and the firm's president, Todd Rapp.

Horner has been reducing his involvement with the firm since he sold a portion of his shares to Todd Rapp in 2008. This latest purchase of Horner's remaining shares finalizes his previously planned exit from Himle Horner and terminates his professional and business relationship with the firm.

"With Tom's candidacy for Governor and the time demands imposed by his campaign, it made sense to finalize the purchase of his remaining shares at this time and sever the business ties between Tom and the company," said John Himle, CEO of Himle Horner Inc. "Freeing Tom from his Himle Horner professional duties will give him the time he needs to focus on his campaign. We appreciate Tom's commitment to honor the contractual confidentiality agreements we have with clients and his assistance to facilitate a smooth transition of his clients to other principals and senior staff within the firm."

Himle Horner expects to rename and rebrand the firm later in the year. "We have been examining some opportunities to further enhance the services we offer clients and any re-branding of the firm needs to be based on a thoughtful process aligned with our strategic direction and the leadership position we have established over the last several years," said Himle. "We extend our sincere appreciation to Tom for his many contributions to the firm and wish him well in his new endeavors."

Himle Horner was originally founded in 1982 by John Himle as Himle and Associates and expanded into Himle Horner Inc. in 1989 through the partnership with Tom Horner. The firm provides public relations, research services, crisis management and public affairs communications services to clients throughout the Midwest and nationally.

Reaction from the Minnesota Republican Party chair Tony Sutton: (update)

"Today's action by Tom Horner is a smokescreen designed to divert attention away from his failure to release his client list. To that end, we renew our call for Horner to immediately disclose his client list so voters can make their own minds up about any potential conflicts of interest. By failing to come clean on his client list, Horner thumbs his nose at Minnesota's tradition of open government and demonstrates that he is just another politician who can't be trusted. In addition, Horner needs to make public the full terms of the buyout agreement so the public has a complete understanding of his financial relationship with Himle-Horner moving forward."