KPMG Australia has acquired Melbourne-based professional service group 3 Degrees Consulting. The purchase sees the Big Four firm’s Australian outfit complete its 14th deal in three years, as KPMG bids to dominate the region’s consulting industry.
KPMG Australia has completed the purchase of 3 Degrees Consulting for an undisclosed fee. The Melbourne-based business consulting firm which provides advice on performance and reward to boards of directors and senior executives of ASX 200 companies provided key services including remuneration and reward, board review and executive talent review, assistance in board and senior management succession, along with communicating change internally to stakeholders as well as to the market.
The deal comes at a time when KPMG’s management consulting arm is experiencing the fastest growth across its operations, increasing by 33% over 2016, while tax and audit are increasing slowest at 5% in the same period.
The acquisition of 3 Degrees sees KPMG’s performance and reward team double in size, with a team of 15 advisers led by one-time 3 Degrees Managing Director Stephen Walmsley, who will become a Partner at the Big Four firm, joining the company’s tax suite.
Commenting on the deal, Stephen Walmsley who has served as an independent advisor to boards of a number of Australia’s leading listed companies, stated 3 Degrees’ purchase was a major opportunity for the firm, referencing this as a key growth market for consulting businesses.
“This is a truly dynamic area. Listed company directors are spending ever increasing amounts of time on people and performance issues,” he concluded.
Gary Wingrove, a Chief Executive Officer at KPMG Australia meanwhile said, “This acquisition extends our portfolio of leadership development, and performance and reward services, giving us additional depth to address a much broader range of key board issues.”