IPA 100 Firms Combine Forces

After months of speculation, Roseland, N.J.-based J.H. Cohn (FY11 $235.6 million) and Bethesda, Md.-based Reznick Group (FY11 net revenue of $202.5 million) announced their merger, creating a $450 million firm.  The combined firm will have more than 2,000 employees and 25 offices nationwide. The partners and principals of both firms have agreed to the combination. Pending approvals, the combination is anticipated to take effect in September.

In 2011 J.H. Cohn ranked 18th on IPA’s 100 list, Reznick ranked 20th. J.H. Cohn is a member of Nexia International and Reznick is a member of IGAF Polaris.

“The combination of these two great organizations immediately elevates us to a preeminent position on the East Coast with offices from Boston to Atlanta, provides a significant expansion in California, and establishes a national footprint with additional offices in Texas and Chicago,“ says Thomas Marino, partner and CEO, J.H. Cohn.  “This combination of peers changes the landscape of the accounting industry by establishing a firm with an unprecedented concentration of industry experience in real estate, and highly specialized, combined experience in areas such as renewable energy, hospitality, manufacturing and distribution, capital markets, government, construction, life sciences and technology, and valuations.”

“The synergies and opportunities this combination of equals brings to our clients and staff is nothing short of historic,” says Ken Baggett, Reznick Group’s MP and CEO.  J.H. Cohn has very diverse clients across a wide array of industries.  When combined with Reznick Group’s knowledge of the affordable housing and commercial real estate industries, as well as the tax credit arena, the result is a firm that is a powerful resource for clients across all of their accounting, tax and consulting needs.”

Allan D. Koltin, CEO of Koltin Consulting Group, who has advised both firms on various strategic issues over the past 10 years commented, “ This merger should be a case study on how to do it right. It was a “merger of equals” on Day 1 and that made everything else that much easier. Tom (Marino) and Ken (Baggett), as well as their leadership teams were able to keep the partners in the loop the entire way which helped tremendously with the buy in and support. The votes from both firms were unanimous. The ability to cross sell each other’s areas of expertise will also be significant. Whether it be governmental, real estate, energy, nonprofit, manufacturing, construction, wholesale/distribution, financial markets, or business investigation, they will have the troops on the ground to deliver.”