M&A roundup: Deals from East to West

Citrin Cooperman, a Top 25 Firm based in New York, has added Chapman Bird & Tessler in Los Angeles, the fourth deal in the past year where it has brought in an accounting firm that specializes in entertainment industry clients. 

Citrin has been on a series of M&A deals after securing private equity investment from New Mountain Capital in November 2021. Previous firms that cater to the entertainment industry that have joined Citrin include Massarsky Consulting, a music economics and valuations business in New York, last January, and two business management firms focused on the entertainment industry: Kingston Smith Barlevi in Los Angeles last July, and Kaufman Bernstein Lee & Robert last November.

Citrin has been steadily increasing its presence in the entertainment industry. "Citrin Cooperman is immersed in the entertainment industry and to be experiencing such incredible growth and transformation means that we are able to provide the expertise, guidance and perspectives needed for our clients through our business management and family office practice," said Citrin Cooperman CEO Alan Badey in a statement.

Citrin Cooperman's bicoastal entertainment, music and sports industry group serves a variety of clients in the film and television, music, sports, media, publishing, and theater worlds.

"Citrin Cooperman is laser focused on high-quality growth," stated Koltin Consulting Group CEO Allan Koltin, who advised Citrin Cooperman on several deals in 2022. "More than growth for growth's sake, they take an exhaustive assessment of shared values, cultures and skill sets before moving forward with acquisitions and it's been a thrill to be part of that process."

Financial terms of the deal were not disclosed. Citrin Cooperman ranked No. 23 on Accounting Today's 2022 list of the Top 100 Firms, with $350 million in annual revenue. CBT added three partners and 30 staff members to Citrin, which has over 270 partners and more than 1,600 employees.

Other recent M&A deals involving Citrin included the acquisition last September of  Murray Devine Valuation Advisors, an independent advisory firm headquartered in Philadelphia, and last August of Untracht Early, an accounting firm in Florham Park, New Jersey. Last July, it expanded into Chicago by acquiring Shepard Schwartz & Harris. In April, Citrin added McNulty & Associates, a consulting firm in Westford, Massachusetts, and in March, it merged in Appelrouth, Farah & Co. in Coral Gables, and Bloom, Gettis & Habib in Miami. Last November, it added OLC Management, a California-based business management firm. 

Mauldin & Jenkins, a Top 100 Firm based in Atlanta, acquired MDG Professional Group PC, a full-service accounting firm in Huntsville, Alabama, effective Jan. 1, 2023.

The deal further expands M&J's presence in the North Alabama region and represents the second acquisition in the Huntsville area in the past two years.

MDG Professional Group is managed by co-founder Ralph Dowdy, who is joining M&J as a partner, along with Larry Gilley, Stephen Moore and Regina McDaniel.

The acquisition extends M&J's reach in the North Alabama market. "It is a great combination that strengthens both firms and offers new opportunities for clients and employees," said M&J managing partner Hanson Borders in a statement. "MDG brings the same focus on excellence and outstanding client service that distinguishes Mauldin & Jenkins. Their experienced team augments our deep bench of diverse professionals and provides additional value for clients while maintaining a consistent firm culture."

Financial terms of the deal were not disclosed, but after the acquisition, Mauldin & Jenkins said it will have approximately $95 million in total annual revenue and over 450 total employees. M&J ranked No. 77 on Accounting Today's 2022 list of the Top 100 Firms, with $64.3 million in annual revenue. M&J has 71 partners and 449 staff members, and MDG will be adding four partners and 19 staffers.

In June 2021, M&J expanded in Alabama by adding CDPA PC, a firm with offices in Athens, Florence and Huntsville.

VonLehman, a Regional Leader headquartered in Fort Wright, Kentucky, has expanded in Indiana by acquiring an Indianapolis based-firm, Sherck, Hussey, Johnson & McNaughton, effective Jan. 1, 2023.

SHJM dates back to 1943 and has served the region for nearly 80 years. VonLehman was founded in 1946. 

"SHJM has cultivated relationships in Indianapolis for generations, providing the same core services VonLehman offers," said VonLehman managing partner Adam Davey in a statement. "There is a tremendous synergy in this partnership — one that allows us to serve the Indianapolis community with exceptional service and the highest level of expertise."

SHJM's staff will be joining VonLehman's Indianapolis office, which now employs over 30 professionals and serves clients in industries including construction, nonprofit and professional services, among others. 

SHJM partners Shawn Antell and Terry Johnson are joining VonLehman as part of the deal.

Financial terms of the deal were not disclosed. VonLehman ranked No. 19 on Accounting Today's 2022 list of Regional Leaders for the Southeast, with $28.12 million in annual revenue, 17 partners and over 130 employees.