Grant Thornton faces merger crisis

Grant Thornton faces merger crisis

The merger between Grant Thornton and HLB Kidsons may be on the brink of collapse if the required number of partners from the smaller firm fails to ratify a deal.

Fears are growing that many Kidsons offices will be cut out of the final deal because they overlap with Grant Thornton branches, in which case it may be impossible to get support from the 75% of Kidsons equity partners needed to seal a deal.

Both Kidsons and Grant Thornton refused to say how many equity partners the firms have but did confirm the proportion required for the deal to go ahead was 75%.

A source close to Kidsons said: ‘Morale is very, very low. Some salaried partners are wondering whether they will be partners at all if the deal goes ahead.’

The firms announced plans to merge in June last year but have yet to settle an agreement.

Links

GT and Kidsons wrangle over merger

Share

Subscribe to get your daily business insights

Resources & Whitepapers

Why Professional Services Firms Should Ditch Folders and Embrace Metadata
Professional Services

Why Professional Services Firms Should Ditch Folders and Embrace Metadata

3y

Why Professional Services Firms Should Ditch Folde...

In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...

View resource
2 Vital keys to Remaining Competitive for Professional Services Firms

2 Vital keys to Remaining Competitive for Professional Services Firms

3y

2 Vital keys to Remaining Competitive for Professi...

In recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...

View resource
Turn Accounts Payable into a value-engine
Accounting Firms

Turn Accounts Payable into a value-engine

3y

Turn Accounts Payable into a value-engine

In a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...

View resource
Digital Links: A guide to MTD in 2021
Making Tax Digital

Digital Links: A guide to MTD in 2021

3y

Digital Links: A guide to MTD in 2021

The first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...

View resource