Armour & Associates joins Frost & Company; the Pennsylvania Institute of CPAs acquires CPA Crossings; CBIZ adds ARC; and TCV buys Oversight.
M&A roundup: Frost, PICPA, CBIZ and TCV make deals
September 2, 2020 4:02 PM
WASHINGTON STATE: Frost adds Armour
Courtesy of Frost & Company
Armour & Associates founder Sam Armour will step down from his role. “I’ve enjoyed watching this firm flourish under my watch for the past several years,” Armour said in a statement Wednesday. “However, my recent life has taken a different direction. I will be working on other ventures outside of the accounting profession.”
“Sam Armour, CFP, is focusing on wealth management activities,” said David Coates, managing partner and CEO of Frost & Company. “This acquisition aligns with our objective to grow into the largest locally owned firm in the area.”
Christy Upton, a CPA, is the only person from Armour & Associates who is joining Frost as part of the deal. Financial terms were not disclosed. Frost’s annual revenue is approximately $4.2 million, while Armour’s revenue is around $525,000.
Frost has five partners and 20 staff members. Besides the Lacey office, the firm also has offices in Tacoma and Bellevue, Washington.
PENNSYLVANIA: PICPA acquires CPA Crossings
Details: The Pennsylvania Institute of CPAs has acquired CPA Crossings, a Michigan-based provider of online learning for accountants.
The acquisition, which takes effect immediately, will position CPA Crossings to deliver online learning for financial professionals across the country. CPA Crossings will operate independently, leveraging PICPA’s administrative resources and executive oversight.
“CPAs will lead the economic recovery of the United States,” said PICPA CEO and executive director Michael Colgan in a statement. “By bringing the strengths of these two organizations together, CPAs will benefit from an expanded selection of expert content and instructors, plus state-of-the-art technology to deliver education when, where, and how they want it — regardless of geography.”
He noted that the shift to online learning has grown in recent years, and as the COVID-19 pandemic has restricted group gatherings this year, the deal makes even more sense. State CPA societies across the U.S. already partner with CPA Crossings and it will continue to support them.
Adam Batchelor will remain CEO of CPA Crossings. “Adding PICPA’s resources and perspective to CPA Crossings’ tremendous programs and reputation will allow us to innovate online learning to keep pace with the accelerating changes impacting CPAs and the associations that serve them,” Batchelor said in a statement.
CPA Crossings founders John Higgins and Bryan Smith will continue as chief partnership officer and chief learning officer, respectively.
“The CPA Crossings mission has been to provide practical technology training to help CPAs succeed,” Higgins said in a statement. “For over 15 years, CPAs have chosen CPA Crossings because of the quality of over 50 nationally recognized instructors and the depth of course offerings in tax, audit, accounting, ethics, technology and more. As a CPA Crossings customer, the PICPA understands the quality programs we offer.”
The PICPA board unanimously approved the acquisition. “This is a historic event for the PICPA,” PICPA president Jill Gilbert said in a statement. “This acquisition provides significantly more value to our members, elevates the quality of training for all CPAs and positions the organization for future growth.”
The acquisition, which takes effect immediately, will position CPA Crossings to deliver online learning for financial professionals across the country. CPA Crossings will operate independently, leveraging PICPA’s administrative resources and executive oversight.
“CPAs will lead the economic recovery of the United States,” said PICPA CEO and executive director Michael Colgan in a statement. “By bringing the strengths of these two organizations together, CPAs will benefit from an expanded selection of expert content and instructors, plus state-of-the-art technology to deliver education when, where, and how they want it — regardless of geography.”
He noted that the shift to online learning has grown in recent years, and as the COVID-19 pandemic has restricted group gatherings this year, the deal makes even more sense. State CPA societies across the U.S. already partner with CPA Crossings and it will continue to support them.
Adam Batchelor will remain CEO of CPA Crossings. “Adding PICPA’s resources and perspective to CPA Crossings’ tremendous programs and reputation will allow us to innovate online learning to keep pace with the accelerating changes impacting CPAs and the associations that serve them,” Batchelor said in a statement.
CPA Crossings founders John Higgins and Bryan Smith will continue as chief partnership officer and chief learning officer, respectively.
“The CPA Crossings mission has been to provide practical technology training to help CPAs succeed,” Higgins said in a statement. “For over 15 years, CPAs have chosen CPA Crossings because of the quality of over 50 nationally recognized instructors and the depth of course offerings in tax, audit, accounting, ethics, technology and more. As a CPA Crossings customer, the PICPA understands the quality programs we offer.”
The PICPA board unanimously approved the acquisition. “This is a historic event for the PICPA,” PICPA president Jill Gilbert said in a statement. “This acquisition provides significantly more value to our members, elevates the quality of training for all CPAs and positions the organization for future growth.”
CALIFORNIA: CBIZ acquires ARC Consulting and ARC Placement Group
Courtesy of CBIZ
ARC was founded by Gary Klintworth and Jim Loughmiller in 2007. It provides specialized accounting and advisory services to high-growth companies in the San Francisco Bay Area. Its services include technical and transactional accounting, internal and external reporting, external audit preparation, systems implementation, process improvement, and IPO advisory and consulting. Finance and accounting talent placement services were added in 2015 with the addition of Harris Klein.
ARC has 46 employees with approximately $17.3 million in annual revenue.
"We are pleased to welcome Gary, Jim and the entire ARC team to CBIZ. ARC serves many of the fastest growing businesses in North America and their commitment to client service is reflected in their notable reputation and company culture,” said CBIZ president and CEO Jerry Grisko in a statement. “This acquisition strengthens CBIZ's presence in Northern California and enhances our ability to provide a broad array of specialized accounting services including IPO readiness and other public company reporting.”
CBIZ plans to work with the ARC team to grow the business in the Bay Area and beyond.
"This combination substantially expands the depth and breadth of services that we can provide to our clients and prospects in the Bay Area and provides opportunities for us to accelerate national expansion of many of our services," Klintworth said in a statement.
GEORGIA: TCV buys Oversight
Details: Oversight, a provider of spend management software, has been acquired by TCV, a growth equity firm that invests in technology companies.
TCV will acquire a majority interest from Luminate Capital Partners, who will continue to support the company as a minority equity partner.
TCV plans to help Oversight expand its product innovations and build upon its portfolio of enterprise spend management products. Oversight’s AI-powered system handles audit and risk mitigation for organizations, finding risks across systems and spending channels. Using artificial intelligence and best practices, Oversight monitors and analyzes corporate card and vendor transactions to identify fraud, errors and wasteful spending to improve financial and compliance outcomes.
“We are excited by this latest milestone in our company's trajectory," said Oversight CEO Terrence McCrossan in a statement Wednesday. "TCV brings to the table a rich portfolio of growth-stage companies in the technology industry. Their expertise and track record of taking companies to the next level fits perfectly with our vision for Oversight."
TCV has invested over $13 billion since 1995 in technology companies such as Netflix, Facebook, Expedia, Spotify, Airbnb, GoDaddy and Zillow.
"Oversight's platform uniquely addresses the spend risk that is inherent in today's enterprise organizations,” said TCV general partner Tim McAdam in a statement. "We are impressed with the company's extensive portfolio of enterprise customers and look forward to partnering with Terrence and the entire Oversight team to capitalize on further growth opportunities."
TCV will acquire a majority interest from Luminate Capital Partners, who will continue to support the company as a minority equity partner.
TCV plans to help Oversight expand its product innovations and build upon its portfolio of enterprise spend management products. Oversight’s AI-powered system handles audit and risk mitigation for organizations, finding risks across systems and spending channels. Using artificial intelligence and best practices, Oversight monitors and analyzes corporate card and vendor transactions to identify fraud, errors and wasteful spending to improve financial and compliance outcomes.
“We are excited by this latest milestone in our company's trajectory," said Oversight CEO Terrence McCrossan in a statement Wednesday. "TCV brings to the table a rich portfolio of growth-stage companies in the technology industry. Their expertise and track record of taking companies to the next level fits perfectly with our vision for Oversight."
TCV has invested over $13 billion since 1995 in technology companies such as Netflix, Facebook, Expedia, Spotify, Airbnb, GoDaddy and Zillow.
"Oversight's platform uniquely addresses the spend risk that is inherent in today's enterprise organizations,” said TCV general partner Tim McAdam in a statement. "We are impressed with the company's extensive portfolio of enterprise customers and look forward to partnering with Terrence and the entire Oversight team to capitalize on further growth opportunities."
