Chicago-based IPA 100 firm Grant Thornton (FY25 net revenue of $2.46 billion) announced today that it plans to acquire Cleveland-based IPA 100 firm CBIZ (FY25 net revenue of $2.81 billion) in an all-cash transaction with an enterprise value of $5 billion.
The companies described the agreement as the largest transaction of its kind in more than 25 years. Upon closing, Grant Thornton is expected to become the fifth-largest U.S. provider of professional services, tax and advisory services, with more than $5 billion in annual domestic revenue. The broader Grant Thornton multinational platform would generate nearly $7.5 billion in revenue and employ more than 34,500 professionals across more than 20 countries and territories.
Under the agreement, CBIZ shareholders will receive $55 in cash per share, a roughly 54% premium over the company’s average share price during the previous 30 days.
CBIZ will become a wholly owned subsidiary of Grant Thornton Advisors, and its common stock will cease trading on the New York Stock Exchange. The transaction is expected to close in the fourth quarter of 2026, subject to CBIZ shareholder approval, regulatory approvals and other customary closing conditions. The agreement also allows CBIZ to solicit and consider alternative proposals through Aug. 27.
New Mountain Capital, which led an investment in Grant Thornton Advisors in May 2024, will provide additional equity to support the acquisition. Following the close, Grant Thornton Advisors plans to separate CBIZ’s Benefits and Insurance Services segment into a stand-alone company backed by New Mountain.
“By combining our multinational platform with CBIZ’s strong market presence, we’re broadening our ability to support businesses through every stage of growth,” said Jim Peko, CEO of Grant Thornton Advisors.
“This is a historic combination with a complementary cultural and strategic fit,” said Jerry Grisko, president and CEO of CBIZ. He added that the deal would create “enhanced service offerings for clients, while delivering significant value to CBIZ shareholders.”
The agreement comes less than two years after CBIZ completed its acquisition of Marcum, which brought together two top 20 firms with approximately $2.8 billion in combined annual revenue at the time of the announcement.
Allan Koltin, CEO of Koltin Consulting Group and a longtime adviser on accounting firm mergers and acquisitions, called the deal both unprecedented and strategically significant:
“Just when you thought the accounting profession couldn’t get any crazier, the unimaginable becomes reality.
“This is the first major accounting deal in which a public company will essentially become private. While that is significant, I don’t believe it closes the door on future IPOs among larger, PE-backed firms. I still expect to see several accounting firms pursue public offerings over the next three to five years.
“The combination is also striking because Grant Thornton and CBIZ have historically served different parts of the middle market. Grant Thornton competes for larger middle-market clients, while CBIZ has focused more heavily on the lower and middle segments. The firms now recognize that they are pursuing the same broader market, just in different weight classes.
“Both organizations also face significant capital needs across what I call the four T’s: technology, talent, transformation and territory. Combining forces gives them greater capacity to invest in AI, deepen industry and service-line specialization and expand geographically.
“Candidly, it is a brilliant strategy. In some ways, it echoes the consolidation of the 1990s, when the Big Eight became the Big Four.
“The deal also reflects a broader transformation underway across the profession. AI will increasingly handle the compliance work behind tax returns, financial statements and outsourced accounting. Firms will need to compete based on the quality of their technology and the value-added services they can offer clients.”
