PracticeConsultingAndersen’s IT arm a takeover target

Andersen's IT arm a takeover target

The IT consultancy arm of Andersen's may soon be up for grabs, as trouble continues to engulf the accountancy firm, according to analysts Ovum Holway.

The IT branch of the beleaguered accounting firm is worth around £85m and would make a good takeover target for one of Andersen’s competitors.

‘Andersen’s IT arm is an attractive and sizeable business,’ said Antony Miller, research manager at Ovum Holway. ‘It would be a tasty acquisition for four of the big five [accounting firms].’

Andersen’s former sister company Accenture could prove to be a good home for the IT practice: ‘The culture is similar, it would be a home away from home for them,’ said Miller.

Eighteen months ago management consultant Accenture – formally Andersen Consulting – broke away from what was then Arthur Andersen.

Potential buyers outside the big five include Logica and Cap Gemini Ernst and Young, and some American firms, according to Miller.

Andersen declined to comment on the future of its IT division.

Related Articles

5 tips for SMEs to protect cash flow

Accounting Software 5 tips for SMEs to protect cash flow

5m Alia Shoaib, Reporter
Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

Consulting Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

11m Stephanie Wix, Writer
Managing partner Q&A - the year ahead: Richard Toone, CVR Global

Accounting Firms Managing partner Q&A - the year ahead: Richard Toone, CVR Global

12m Kevin Reed, Writer
Deloitte 'self-imposes exile' on government contracts to defuse PM row

Accounting Firms Deloitte 'self-imposes exile' on government contracts to defuse PM row

12m Kevin Reed, Writer
Managing partner Q&A - the year ahead: Julie Adams, Menzies

Accounting Firms Managing partner Q&A - the year ahead: Julie Adams, Menzies

12m Kevin Reed, Writer
Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

Business Regulation Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

1y Kevin Reed, Writer
Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

Audit Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

1y Kevin Reed, Writer
New head of equity capital markets for KPMG

Accounting Firms New head of equity capital markets for KPMG

1y Stephanie Wix, Writer