Deloitte buys restructuring specialist Kavanagh Fennell
Deloitte said that it is buying Dublin-based restructuring specialist Kavanagh Fennell.
The surprise deal ends the independence of one of the country's best known and oldest restructuring and specialist forensics partnerships.
Deloitte declined to say how much it paid for Kavanagh Fennell but confirmed that some money changed hands,
The deal will help Deloitte target SMEs and large corporate clients as they restructure following the end of the financial crisis.
All Kavanagh Fennell's 53 employees will join Deloitte's corporate finance department under Deloitte's corporate finance boss Martin Reilly.
Mr Reilly's team will now have 150 employees.
Tom Kavanagh, Ken Fennell and David Van Dessel will join Deloitte as partners and work closely with Deloitte's David Carson in the restructuring area, Deloitte said in a staterment. As well as tradiitonal insolvency and restructuring work, the acquisition will enable Deloitte to expand in the forensics area, a fast growing and increasingly important area for companies.
"As Ireland's recovery continues we anticipate a continuing demand for restructuring services and this acquisition more closely aligns our forensics and restructuring offerings to meet the evolving needs of our clients," said Deloitte managing partner Brendan Jennings.
Kavanagh Fennell, which was founded in the late 1990s has shot to prominence since the financial crisis wreaked financial havoc in some of Ireland's leading companies.
Kavanagh Fennell was set up by former Deloitte Touch employee Tom Kavanagh and Ken Farrell in 1997.
UCD-educated Kavanagh's main focus has been receiverships, examinerships and turnarounds.
Fellow partner Mr Fennell has worked in the insolvency field for the past 20 years and is one of Ireland's leading insolvency professionals with more than 300 insolvency appointments. He was the receiver to A-Wear group as well as many commercial property developments.
The last Kavanagh Farrell employee to become a partner is David van Dessel who is also a former Deloitte alumni.
Mr van Dessel specialises in forensic accounting and voluntary liquidations, which both require a keen eye for detail.
Deloitte emplopys 1,350 people in Dublin, Cork and Limerick to provide audit, tax, consulting, and corporate finance services,