Grant Thornton to merge with BDO in South Africa
It will create the largest mid-tier accounting firm in the country.
BDO South Africa has announced it will merge with Grant Thornton Johannesburg later this year.
The merger follows BDO’s purchase of Grant Thornton offices in Cape Town and Port Elizabeth in February.
The new deal will result in a firm with 1500 partners and staff across seven offices in South Africa, and a Johannesburg office of almost 900 partners and staff and fees in excess of R1.2bn (£69m).
The news of the merger come just one month after KPMG announced it would be cutting 400 jobs and close offices in South Africa.
KPMG said in June that it was “reshaping” its business after a scandal-hit year in which it has lost number of major clients and been investigated for its work with the controversial Gupta family.
Mark Stewart, CEO a BDO South Africa, who will continue to lead the firm, said the deal positioned the firm as a “credible alternative to the four largest auditing firms in South Africa.”
“The audit profession is undergoing huge change currently, and the demand for in-depth, technical and industry expertise is critical. BDO will now be in a far better position to take advantage of new opportunities in the market and to provide clients and employees with a significant alternative to the competition.”
The merger is expected to be completed during the fourth quarter of this year. Source: Economia