CBIZ to acquire accounting firm Marcum in $2.3 billion deal

(Reuters) -Financial services and insurance provider CBIZ said on Wednesday it would buy Marcum, one of the biggest accounting services providers in the United States, in a $2.3 billion cash-and-stock deal.

The accounting market in the U.S. is dominated by the "Big Four" firms — Deloitte, EY, KPMG and PwC.

The industry has been reeling under the pressure of slowing client spend, particularly in advisory services, over the past 12 months due to economic uncertainties and a high-interest rate environment.

Marcum, founded in 1951 and based in New York, provides tax, attestation, accounting and advisory services. It has offices in more than 43 markets across the U.S., with over 35,000 clients.

Its attestation business — which reviews companies' financial forecasts and other information — would be bought by Mayer Hoffman McCann, a separate accounting firm.

CBIZ said it expects to pay for roughly half of the deal, expected to close in the fourth quarter of this year, through cash.

Separately on Wednesday, CBIZ reported second-quarter adjusted earnings of 50 cents per share, down from 55 cents a year earlier.

The company's total revenue rose 5.4% in the quarter ended June 30.

Perella Weinberg Partners is CBIZ's financial adviser, while Deutsche Bank is Marcum's financial adviser on the deal.

(Reporting by Niket Nishant and Manya Saini in Bengaluru; Editing by Savio D'Souza and Shilpi Majumdar)