Grant Thornton acquires CBIZ in $5 billion cash deal

Grant Thornton Advisors announced Wednesday it has entered into a definitive statement to get CBIZ, Inc. (NYSE: CBZ) successful an all-cash woody with an endeavor worth of $5 billion.

Under the presumption of the agreement, each CBIZ shareholder stands to cod $55 per stock — a fig the institution said reflects astir a 54% premium implicit CBIZ's 30-day volume-weighted mean stock price. Reuters added that the connection terms besides represents a 17.8% premium implicit CBIZ's astir caller closing price.

Upon closing, Grant Thornton successful the U.S. is expected to go the fifth-largest supplier of nonrecreational services, taxation and advisory services, with much than $5 cardinal successful yearly home revenue, the institution said. The transaction represents the largest of its benignant successful much than 25 years. Together, the 2 firms would run crossed much than 20 countries and territories, bring successful adjacent to $7.5 cardinal successful yearly revenue, and person a workforce of much than 34,500 professionals.

Reuters noted that Deloitte, EY, KPMG and PwC — collectively known arsenic the Big Four — clasp ascendant positions successful the U.S. accounting market.

New Mountain Capital, which led a May 2024 concern successful Grant Thornton Advisors, volition marque an further equity concern to enactment the transaction. After the woody closes, Grant Thornton Advisors plans to abstracted CBIZ's benefits and security services conception into a caller stand-alone entity backed by New Mountain Capital.

Grant Thornton Advisors Chief Executive Officer Jim Peko said successful a statement: "By combining our multinational level with CBIZ's beardown marketplace presence, we're broadening our quality to enactment businesses done each signifier of maturation — from aboriginal improvement to planetary scale."

CBIZ President and Chief Executive Officer Jerry Grisko said successful a statement: "This is simply a historical operation with a complementary taste and strategical fit. Joining Grant Thornton Advisors accelerates the realization of that vision, creating a stronger steadfast with caller and breathtaking opportunities for our squad members and enhanced work offerings for clients, portion delivering important worth to CBIZ shareholders."

The CBIZ committee of directors unanimously approved the transaction and recommends shareholders ballot successful favour of it. The woody is expected to adjacent successful the 4th fourth of 2026, taxable to CBIZ shareholder approval, regulatory clearances and different customary conditions. Under a go-shop provision, CBIZ whitethorn solicit alternate acquisition proposals done August 27, 2026.

On the advisory front, Goldman Sachs has been engaged by CBIZ, portion Deutsche Bank is starring the fiscal advisory enactment connected behalf of Grant Thornton Advisors.