KSM Business Services was formed to acquire the non-attest assets of Katz Sapper & Miller, an Indianapolis certified public accounting firm, in November 1998. The acquisition was the third of seven regional accounting firm acquisitions made by H&R Block prior to its August 1999 acquisition of the non-attest assets of McGladrey & Pullen, LLP, then the nation’s seventh largest accounting, tax and consulting firm. The remaining six regional accounting firms have integrated their operations with RSM McGladrey, whose goal is to become the premier provider of tax, accounting, consulting and financial services for mid-sized business clients.
Our strategy of building a national network of accounting and consulting practices was accelerated with the McGladrey acquisition, said Frank L. Salizzoni, chairman and chief executive officer of H&R Block. We’re able to integrate all of the firms under the RSM McGladrey brand, adopting their technology infrastructure and policies to accelerate our goal of building an industry-leading firm.
KSM Business Services preferred to retain its autonomy, however, and we respect their decision, Salizzoni said. Neither RSM McGladrey nor KSM Business Services would be best served by forcing a merger.
Since joining H&R Block, KSM Business Services has expanded its firm with the March 1999 acquisitions of the accounting, tax and consulting operations of R. J. Murphy & Associates, P.C., and Robert A. Thomas & Associates, P.C., both Indianapolis firms. The sale of assets of KSM Business Services is subject to the execution of a definitive agreement by all parties. The transaction is expected to close by the end of the calendar year.
