BDO and PKF close in on merger
ACCOUNTANTS and business advisers BDO and PKF have announced they are to merge.
BDO is the UK’s sixth largest firm with fee income of £281.5m and PKF the twelfth.
The deal, which was first mooted in the summer, is expected to see PKF’s UK business separated from its international operations.
Both organisations have offices in Leeds and PKF has an additional office in Sheffield.
TheBusinessDesk.com understands that BDO’s partners have voted for the deal and were informed that it is going ahead yesterday.
A formal statement said the parties are planning to create a “new force” in the accountancy market, with a merger taking place in early 2013.
The combined firm will employ 3,500 people in the UK generating revenues approaching £400m.
The statement said: “This will be the first proactive strategic merger in the UK accountancy market for 15 years and reflects both firms’ sustained commitment to growth in their mid-market heartland. The merged firm will be uniquely placed to offer greater choice and quality and demonstrates an appetite to invest.
BDO’s managing partner Simon Michaels, said: “Our two firms share a closely-aligned vision to lead in the mid-market, as well as similar cultures and a commitment to deliver exceptional client service. The merged firm will have a strong balance sheet, as well as unrivalled sector and geographic strength in many areas.
“The PKF team will enhance and complement our offerings to clients, bringing consulting expertise along with wide experience across audit, tax and advisory arenas. This exciting development demonstrates that both firms are ambitious for growth.”
Martin Goodchild, managing partner at PKF (UK) added: “This is a good strategic decision for both firms who have a desire to lead, from a position of strength, the inevitable consolidation of the mid –tier which is long overdue.”
