CBIZ, Inc. (CBZ) To Acquire Marcum

CBIZ, Inc. (NYSE: CBZ) ("the Company"), a leading national provider of financial, insurance and advisory services, today announced that it has entered into a definitive agreement to acquire the non-attest business of Marcum, LLP ("Marcum"), which will make CBIZ the seventh-largest accounting services provider in the U.S. with approximately $2.8 billion in annual revenue.

Concurrent with the closing of this transaction, the attest business of Marcum will be acquired by Mayer Hoffman McCann P.C., a national independent CPA firm with which CBIZ has had an Administrative Service Agreement for over 25 years.

The cash-and-stock transaction is valued at approximately $2.3 billion. It is expected that approximately half of the transaction consideration will be paid in cash and the remainder shares of CBIZ common stock.

Founded in 1951 and headquartered in New York City, Marcum has 43 offices in major markets across the U.S. and serves more than 35,000 clients. With approximately $1.2 billion in revenue and more than 3,500 professionals, Marcum ranks as the13^th-largest accounting firm in the U.S. Marcum provides a wide range of professional services to entrepreneurial companies, midcap and micro-cap SEC registrants, and high-net-worth individuals. The firm's solutions include traditional tax, attest, accounting, and advisory services, as well as technology solutions and executive search and staffing services.

Expected Transaction Benefits Post-Close:

• Market Position: Solidify position as a leading provider of professional services to the growing middle market and seventh largest accounting services provider in the U.S.
  
• Growth Strategy: Scale accelerates growth and further positions CBIZ as an acquirer of choice
  
• Our People: Attract and retain the best and brightest in our industries, enhance learning and development aligned to meaningful career paths and expanded growth opportunities
  
• Client Experience: Offer an unmatched breadth of services and depth of expertise including the development of innovative and actionable solutions
  
• Industry Expertise: Combined industry knowledge enables access to new sectors and expands presence in target industries
  
• Innovation and Technology: Enable greater investment in technology to support data-driven insights and solutions while driving innovation, increasing efficiency and enhancing performance
  
• Shareholder Value: Expect to be accretive in 2025, with an estimated contribution to Adjusted earnings per share of approximately 10%

"Today marks the most significant transaction in CBIZ's history as we announce our agreement to acquire Marcum," said Jerry Grisko, President and Chief Executive Officer of CBIZ. "At closing, our company will have combined annual revenue of approximately $2.8 billion, more than 10,000 team members and over 135,000 clients. Together, we will provide a breadth of services and depth of expertise that is unmatched in our industry, allowing us to bring a broader array of high-value solutions to our combined client base. This transaction enables CBIZ to strengthen our presence in key markets, continue to attract and retain top talent, and innovate through technology. We are excited about our future together and the opportunities it will provide our people, the solutions we will bring to our clients and the value we expect it will create for shareholders."

Jeffrey Weiner, Chairman & Chief Executive Officer of Marcum, said, "CBIZ and Marcum share a dedication to providing high-quality innovative professional services to our clients, and personalized, local client relationships supported by national resources. By joining forces, we will capitalize on our strengths and leverage our similar models to bring more diversified services and even greater subject matter expertise to our clients and attract new business. We both have a proven track record of growth through successful acquisitions, and we are excited to bring these two best-in-class organizations together."

Transaction Details
The transaction is expected to close in the fourth quarter of 2024 subject to the approval of CBIZ stockholders, the approval of Marcum's partners and other customary closing conditions. More information about this transaction can be found https://www.cbiz.com/stronger-together.

Advisors
Perella Weinberg Partners is serving as CBIZ's financial advisor and BakerHostetler is serving as CBIZ's legal advisor for the transaction. Deutsche Bank is serving as Marcum's financial advisor and Dechert LLP is serving as Marcum's legal advisor for the transaction.

Second-quarter 2024 Financial Results
In a separate press release issued today, CBIZ announced its second-quarter financial results. The press release can be found on the Company's website: https://cbiz.gcs-web.com/investor-overview.

Conference Call
CBIZ will host a conference call today at 11 a.m. EDT to discuss this announcement and its second-quarter and first-half financial results. Investors can register at https://dpregister.com/sreg/10191052/fd1f3d903c to receive the dial-in number and a unique personal identification number. Participants may register at any time, including up to and after the call start time. An archived replay of the webcast will be available on the Company's website following the call.

You May Also Be Interested In

• WISeKey reports 115% revenue rise in H1 2026, reaffirms FY outlook
• Spero Therapeutics secures $105M royalty-backed financing deal
• NextCure and Avere to merge, targeting oral IL-23 therapy