RSM International and Crowe Horwath International announce member firm merger
RSM International and Crowe Horwath International wish to announce that their respective member firms, RSM China and Crowe Horwath China, have merged creating a new firm ‘Ruihua China CPAs’. The integration of both firms will complete formally in Q4 2013, and the new firm has requested to be a member of both the Crowe Horwath International and RSM International networks.
Ruihua China CPAs will have a combined revenue of RMB 2.8 billion (USD 458 million), with a total of 334 partners. The firm’s total headcount is 9,000 staff members, with offices in 38 cities in China.
Mr. Yang Jiantao, principal partner of Crowe Horwath China, and Mr. Gu Renrong, principal partner of RSM China, will be the managing partners of Ruihua China CPAs.
The merger reflects the ambition of both firms to create a large Chinese national firm in the country. The firm intends to benefit from world class international reach through its relationships with the RSM and Crowe Horwath networks and member firms worldwide. This merger fits the strategic vision of the Chinese CPA profession to become “bigger, stronger and more international”. The request by Ruihua China CPAs to belong to both networks is specific to China, and in all other markets RSM and Crowe Horwath will remain mutually respectful competitors.
The merger will have a transformational impact on the Chinese accountancy services market, and more widely for clients and potential clients of Crowe Horwath China and RSM China, who will benefit from the significant market presence of the merged firm in the world’s second largest economy. The merger will significantly broaden the service base currently offered across both firms, the depth of advisory capabilities, and enable current and future clients to benefit from a substantially enlarged geographical footprint and depth of expertise in China.
Jean Stephens, Chief Executive Officer of RSM International, comments: “The merger creates one of China’s largest accountancy and advisory firms in this strategically important market. Having significant presence and depth of capabilities is essential to RSM and our member firms globally. The merger with Crowe Horwath China will mean that current and future clients, and other member firms in the RSM network, will benefit from the substantially increased scale and capability of the new firm. We look forward to supporting the continued success of the team in China.”
Kevin McGrath, Chief Executive Officer of Crowe Horwath International, said: “This merger provides an historic opportunity to establish a domestic national practice to respond to national and international client needs, including those of the Chinese government and its agencies. The merger with RSM China will create a firm of greater scale and capability thereby fulfilling the combined firm’s vision of further developing the international focus of its people and the clients they serve. Many of the member firms in the Crowe Horwath network have clients with interests in China and this merger will prove very beneficial to us on a global scale.”