M&A roundup: Wiss, High Rock and ATA expand

Details: Alexander Thompson Arnold PLLC, also known as ATA CPAs, a firm based in Jackson, Tennessee, has expanded to Arkansas by acquiring JWCK Ltd., formerly known as Jordan, Woosley, Crone & Keaton, Ltd., a firm in Hot Springs, effective Jan. 1, 2022.

The merger adds 14 professionals to the ATA team, including three principals and two partners, Christina Ellis and Courtney Moore. ATA and 28 partners and 177 staff members. After the merger, the combined firm will have a total of 220 employees and 15 locations across four states.

“ATA has had a long-standing interest in establishing a strong presence in Arkansas,” said ATA managing partner John Whybrew in a statement Tuesday. “We believe that this strategic merger with JWCK allows the firm to grow in new markets with like-minded professionals as well as continue our multi-year growth plan.”

ATA earned $32 million in annual revenue, while JWCK had $2.5 million in annual revenue.

JWCK has offered tax management and accounting services for approximately 60 years, along with auditing, financial statements and financial planning. The firm ranks 14th on the Arkansas Business Publishing Group’s list of the largest accounting firms in the state. The firm has been named Best Accounting Firm in Hot Springs by The Sentinel Record for two years in a row, and Ellis was named Best Accountant in Hot Springs for the past two years.

“Our commitment to serve our community with professionals right here in Hot Springs has led JWCK to merge with ATA,” Ellis said in a statement. “Through this merger, we will be able to provide our community with expertise in subject matters beyond what we have in our local office and will be able to devote more time to client relationships by allowing ATA’s entities to handle administrative responsibilities.”

ATA Hot Springs will operate at its current offices until May 2022 when it will move into a newly constructed space.

Details: High Rock Accounting, a firm based in Scottsdale, Arizona, has acquired the Digital CPA, a firm in Orlando, Florida, effective Jan. 1, 2022.

The Digital CPA was founded in 2011 by Jay Kimelman, a Certified Information Technology Professional who has been named a Top 50 Cloud Accountant and recognized as the 2016 Xero Most Valued Professional. He is joining High Rock as director of internal technology, and his team will add their expertise in e-commerce, inventory, and wholesale distribution services to the firm.

“I’m thrilled we have such a talented e-commerce and technology team joining forces with our High Rock Stars,” said High Rock Accounting CEO Liz Mason in a statement. “Jay is a phenomenal leader in the accounting space and will bring his innovative mindset to build something amazing with us. I see a massive opportunity to serve our eCommerce clients more comprehensively while simultaneously leveling up our strategic use of technology on the way to achieving our vision for the accounting profession.”

Financial terms of the deal were not disclosed. “The Digital CPA team is excited to join Liz, Melissa, and the High Rock Collective,” Kimelman said in a statement Tuesday. “We are looking forward to being a part of a larger team and leveraging the additional resources to service our clients and the eCommerce seller community. Additionally, I am looking forward to contributing to bringing High Rock Accounting closer to achieving CPA World Domination.”

In November, High Rock Accounting expanded to Minnesota by acquiring the Mobius Group, a firm in St. Paul.

Details: Wiss & Co., a Top 100 Firm based in Florham Park, New Jersey, has acquired Neidich & Co., a firm in Mountainside, New Jersey, effective Jan. 1, 2022.

Neidich specializes in serving privately owned real estate companies. The firm was founded in the 1950s by Sid Neidich and is currently led by Charles Tarlowe who became managing partner last year after the passing of his partner, Michael Beck. The two firms have been working together for over 40 years and have an overlapping client base.

The KRE Group (run by the Kushner family) and Garden Homes (headed by the Wilf family) are Neidich’s largest clients. “The Kushner family has been clients of Neidich since the 1950s when my father started business,” said KRE Group founder Murray Kushner in a statement Monday. “I attribute much of our success to the sage advice and guidance of Mike and his team. Although I’m delighted that Wiss is picking up where Mike left off, I miss Mike every day.”

Garden Homes owners Zygi Wilf and Lenny Wilf have worked closely with both firms for decades and are looking forward to expanding their relationship with Wiss, which originated in the 1960s. “The Neidich team, led by Charlie, ensured our company’s and family’s tax and accounting needs were handled professionally and efficiently,” said Lenny Wilf in a statement.

Financial terms of the deal were not disclosed. Wiss ranked No. 99 on Accounting Today’s 2021 list of the Top 100 Firms, with $44 million in annual revenue. The firm has approximately 30 partners and 230 employees.