RSM International expects that the upcoming merger between its Chinese member Huapu Tianjian Certified Public Accountants (Huapu Tianjian) and a “significant part of a leading firm in China”, will represent a 40% growth to the international company, according to an RSM Malta press release. The RSM press release did not name the other Chinese company.
RSM Malta expects the merger to cement RSM’s presence as a “leading audit, tax and consulting provider in the Chinese market”. After the merger, the company will rebrand as RSM China, which RSM hopes will help to strengthen the brand and further increasing its client service expertise and scale.
The merger will represent the second stage of a wider and targeted growth strategy for RSM in China, which began with Huapu Tianjian joining the RSM network in December 2018 and is designed to further expand RSM’s extensive footprint and service offering across mainland China.
New offices will be opened in Xiamen, Wuxi, Fuzhou, Nanning and Nanjing and international client service hubs will be based in Beijing, Shanghai, Shenzhen and Guangzhou.
“China is a crucial market for our clients who are increasingly looking for coordinated cross-border expertise that spans the globe. When Huapu Tianjian joined the RSM network, we were excited by their ambition and their client service approach,” said Jean M Stephens, CEO of RSM International. “This merger is the next step in an ongoing growth strategy which will see RSM China achieve top ten status and prominence as a key player in the Chinese market,” she added.
Therefore, with a combined workforce comprising 3,200 partners and employees across 15 offices, RSM hopes that the new team will bring a strong client base and solid expertise in the Chinese initial public offering (IPO), mergers and acquisition (M&A), and securities markets.
Furthermore, complementing RSM China and making efforts on consolidating its position, RSM Malta says they are looking into the tax, consulting and risk advisory services sectors as well.
“Joining RSM has provided a platform for rapid growth. We have already climbed the rankings significantly and our short-term target is to join the top ten in China. With our new merger, as RSM China we will be even better placed to serve our national and international clients and those of the wider RSM network looking to operate in the Chinese market,” added Houfa Xiao, Managing Partner of Huapu Tianjian. “The new team brings strong expertise coupled with exceptional client service capabilities and we are excited to evolve our offering as a result.”
RSM Malta CEO Ms Stephens tagged the merger as a “crucial milestone” in their plans of gaining more exposure in the Chinese market. “I am proud to be welcoming 1,200 new creative minds across 5 offices to our team in China as part of the next stage in our growth,” RSM CEO Ms Stephens says in a blog post published after the merger news broke. “Huapu Tianjian is merging with a significant part of a leading firm to create the new RSM China. This adds offices in Xiamen, Wuxi, Fuzhou, Nanning and Nanjing and will augment our offering in the specialisms of IPOs, M&A and securities markets. From 15 offices across the country, RSM China will provide our clients around the world with a greater depth of insight and understanding, while clients in China will gain access to the breadth of expertise across our network of 750 offices in 116 countries,” she added.