Clayton, Dubilier and Rice is acquiring PwC’s Global Mobility Tax and Immigration Services business; Sikich is buying PA Group USA; and Withum is merging in MM&Co.
M&A roundup: PwC, Sikich and Withum make deals
October 19, 2021 2:12 PM
NEW JERSEY: Withum merges in MM&Co.
Courtesy of WithumSmith+Brown
As part of the deal, MM&Co.’s two partners and 13 team members will join Withum’s office in Whippany, New Jersey. Financial terms were not disclosed. Withum ranked No. 24 on Accounting Today’s 2021 list of the Top 100 Firms. The firm has annual revenue of $320 million.
“We could not be more excited to join a firm that aligns so perfectly with our values,” said MM&Co managing partner Steve Maffei in a statement Tuesday. “We are proud to serve a diverse clientele with the highest quality services and continuity of personalization of a small firm. Withum is likewise committed to being a catalyst for clients to achieve exponential growth and success, with an added depth and considerable resources that will augment our already-existing services. This union is the next phase in our story, and we are glad to continue helping our clients reach new levels of success.”
MM&Co. provides accounting and audit services, tax and estate planning, management advisory services and mergers and acquisitions consulting.
In July,
“Our unique culture is part of what makes Withum such a great firm,” said Withum managing partner and CEO Bill Hagaman in a statement. “Steve and his team members understand the importance of culture, trust and transparency when creating opportunities for clients and helping them achieve their business goals. We’re looking forward to sharing in their experience and collaborating on initiatives in the future.”
NEW YORK: CD&R acquires PwC Global Mobility Tax and Immigration Services
Brent Lewin/Bloomberg
The PwC unit provides employee tax, immigration, business travel, mobility managed services and payroll to more than 3,000 multinational clients and their employees worldwide. Financial terms of the deal were not disclosed.
The business will be rebranded once the transaction closes, which is expected to happen in the first half of 2022. Approximately 160 PwC partners are involved in the business line, with an average tenure of 20 years. The PwC group has more than 5,000 team members across 140 territories. PwC ranked No. 2 on Accounting Today’s 2021 list of the Top 100 Firms, with $18 billion in annual revenue in the U.S., and $45.1 billion globally.
“The best interests of our clients, people and partners have been at the forefront of this transaction and I’m confident that, with CD&R's backing, the new business will be well equipped to grow and meet the developing needs of its clients of all sizes and in all segments around the world,” said PwC global chairman Bob Moritz in a statement. “This sale will allow PwC to increase its investment in and prioritize building capabilities relevant to our global strategy — The New Equation. I’d like to thank the partners and people involved for their great work and wish them well for the future.”
In June, PwC announced a new international strategy called “The New Equation,” with an emphasis on building trust, delivering sustained outcomes, and furthering a commitment to quality, while also restructuring its U.S. firm, dividing it into Trust Solutions and Consulting Solutions segments (
The transaction will create a free-standing, global business with more than 5,700 professionals who will focus on cross-border mobility services for clients. The business has been around for 50 years, but has enhanced its services over the past two years to help cross-border employees deal with the pandemic.
“We are excited for the opportunity to become a free-standing organization and partner with CD&R to build on our market leadership and drive more value for clients," said Peter Clarke, global managing partner for global employee mobility at PwC, who will become CEO of the new company, in a statement. “The pandemic proved that global employment issues remain a key challenge for companies, especially as compliance requirements become more complex. Our partnership with CD&R will allow us to accelerate our technology investments to offer what our clients are asking for: an integrated digital experience across the entirety of the talent mobility ecosystem. These technology investments along with our new global operating model will support an even more differentiated service experience for our clients with the same laser focus on the quality and confidentiality of the services we provide to our cross-border employee clients, while providing expanded and rewarding career opportunities for our team.”
TENNESSEE: Sikich buys PA Group USA
Photo: Matt Stout
PA Group implements enterprise resource planning, customer relationship management and manufacturing execution systems. The firm is a Microsoft Dynamics Gold Certified Partner and Cloud Solutions Provider that also provides business intelligence, marketing automation and cloud and IT infrastructure services.
Financial terms of the deal were not disclosed. Sikich ranked No. 30 on Accounting Today’s 2021 list of the Top 100 Firms, with $184 million in annual revenue. The firm has 95 partners and 970 employees. Twenty employees and one partner from PA Group USA will join Sikich and continue to work from their office in Chattanooga.
“We’re excited to join forces with a major industry player like Sikich,” stated PA Group USA CEO Bradley Hanon, who will join Sikich as a partner. “Our team and our clients will benefit from access to Sikich’s deep bench of experts and wide range of digital transformation capabilities.”
The deal is expected to help clients in the manufacturing industry in particular. “As we continue to support manufacturers in their digital transformation journeys, PA Group USA will help us strengthen our capabilities in this key industry,” said Jim Drumm, head of Sikich’s technology team, in a statement. “The addition of PA Group USA is another important step in our ongoing growth efforts, which, in the end, enhance our ability to address clients’ evolving business needs.”
In April,
