Blackstone Acquires Stake in Citrin Cooperman Advisors

News Summary

Blackstone has made a significant move in South Florida’s accounting sector by acquiring a 40-45% stake in Citrin Cooperman Advisors LLC. This strategic investment will likely influence the firm’s growth trajectory as it celebrates its 46th year in service, boasting nearly $30 million in annual revenue. With a solid base of 15,000 global clients and recent expansions, Citrin Cooperman is positioned for further development within the competitive landscape of accounting firms. Blackstone’s backing is expected to fuel innovation and growth initiatives.

Big News in South Florida’s Accounting Scene!

South Florida, get ready for some exciting developments! Blackstone, a heavy hitter in the investment world based out of New York, has just made waves by agreeing to purchase a significant stake in Citrin Cooperman Advisors LLC. Mark your calendars, because this deal was inked on January 7. While the financial details of this acquisition haven’t been unveiled, the implications are noteworthy for one of the region’s leading accounting firms.

A Closer Look at Citrin Cooperman

Citrin Cooperman isn’t just any firm; it’s a well-established player celebrating 46 years of service in South Florida. With a team of 42 local Certified Public Accountants (CPAs), this firm has made a name for itself, raking in nearly $30 million a year from its South Florida clientele. Now, Blackstone’s investment is said to represent a 40-45% ownership in the firm, which is a hefty valuation of around $2 billion!

A Brief History of Acquisitions

It’s interesting to note that New Mountain Capital, another private equity firm, already acquired a majority stake in Citrin Cooperman back in October 2021. This latest transaction seems to follow a trend, especially since New Mountain also picked up a piece of Grant Thornton’s U.S. division just last May. It seems like the accounting industry is buzzing with activity!

Where Citrin Cooperman Stands

Citrin Cooperman proudly operates from three offices in South Florida: Coral Gables, Fort Lauderdale, and Sunrise. The firm is home to 19 local partners, with Lou Proietto and Joshua Rader leading the charge regionally. Recently, the company ranked No. 11 on the SFBJ’s Accounting Firms in South Florida by CPAs List and a commendable No. 10 by the Billings List. Not too shabby!

Expansion Mode: Full Steam Ahead!

It looks like growth is on the horizon. Citrin Cooperman made headlines earlier this year when it acquired Keefe McCullough & Co. located in Fort Lauderdale. This strategic move not only bolstered its local presence but also added 11 new partners and over 75 employees to the team. They’re not slowing down anytime soon, as there are whispers of potential expansion into northern Florida markets like Orlando and Tampa. Exciting times ahead for floridians and auditors alike!

Behind the Scenes of the Acquisition

The financial side of things is being expertly handled by Deutsche Bank Securities, who is acting as Blackstone’s financial adviser for this deal. On the legal front, firms like Kirkland & Ellis LLP and Gibson, Dunn & Crutcher LLP are representing Blackstone, while Citrin Cooperman’s sell-side financial adviser is Guggenheim Securities, with assistance from Koltin Consulting Group.

What’s Next for Citrin Cooperman?

With an impressive foundation of 15,000 global clients, Citrin Cooperman is well-poised to continue its trajectory of growth and success. Their diverse array of tax, advisory, and accounting services positions them as a firm to watch in the upcoming years. The infusion of capital from Blackstone will no doubt fuel further expansion and innovation.

In summary, this acquisition isn’t just a piece of business news; it’s a signal that South Florida’s accounting landscape is evolving. Whether you’re a potential client, a competitor, or simply someone interested in local business developments, there’s no denying that this is a story worth following!