Crowe Horwath LLP has announced the sale of its subsidiary, Creative Financial Staffing, to its employees through an employee stock ownership plan.
CFS is a privately owned accounting and financial placement company based in Boston. The company, which has roughly 165 employees, will have 34 offices throughout North America and the Caribbean. It has more than 1,000 temporary accountants and placed 1,800 accountants in direct hire positions last year.
“This is great news for Crowe and CFS,” CFS president and founder Dan Casey said in a statement. “What better way to reward the people who have helped to build and will continue to build the value of CFS than to transfer ownership to them.”
Crowe Horwath CEO Chuck Allen noted that he intends to focus on the firm’s “core services and industries.”
“Transferring CFS to its employees will best position the company and its employee-owners for maximum growth,” Allen said in a statement. “I have complete confidence that CFS will continue to prosper under Dan’s leadership and with the support of his colleagues, who now will have an ownership interest in the business.”
The divestiture will reduce Crowe Horwath’s consolidated revenue by approximately $67 million.
Additional terms of the deal are undisclosed.
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