Crowe Horwath International has rapidly accelerated its push
into important emerging markets with the addition of large firms in
China, Brazil and Hong Kong.

The network has admitted Crowe Horwath RCS in
Brazil, WanLongAsia in China and Crowe Horwath HK CPA in Hong
Kong.

Crowe Horwath International chief executive
Frank Arford said the additions are part of a strategic plan to be
a strong player in BRIC economies.

“Not only do they add to our market presence
and position in important countries, but they help us build our
representation in some of the key economic centres,” Arford said.
“It will put us in a position to go after those middle-market
multi-nationals, which are either headquartered or have significant
operations in these key countries.”

WanLongAsia is the seventh-largest firm in
China and has estimated fee income of about CNY515 million ($74
million). This month, the firm merged with Beijing WuLianFang-Yuan
and several offices of Zhong Lei, adding revenue of CNY117 million.
WanLongAsia has 2,000 staff across 31 offices around China and
serves various clients, including 55 publicly-listed companies and
400 state-owned enterprises.

The firm provides audit and attestation, tax
consulting, management consulting, construction cost consulting,
asset appraisal, foreign investment consulting and advice for
foreign-owned enterprises, among other services.

“They certainly want to be on this list of
‘favoured firms’ that the Ministry of Finance is managing.
Initially, the favoured firms will have a lot of this state-owned
enterprise audit work and then over time those state-owned
enterprises will go public and will become multi-nationals
themselves,” Arford told International Accounting
Bulletin
. “They are also going to take our name ‘Crowe
Horwath’ both in Mandarin and English… so this is a big advantage
to us.”

In May, Crowe Horwath International’s former
Chinese member Shu Lun Pan left the network to join BDO
International.

In Brazil, Crowe Horwath RCS was formed by the
merger of Crowe Horwath International member firm Horwath Tufani,
Reis & Soares and RCS Auditores Independentes, a former Praxity
member.

The firm has annual revenues of BRL$25 million
($14 million) and claims to be a top seven firm in Brazil. It has
nine partners, 200 professionals and offers a full range of
services, including auditing, tax and consulting to more than 500
clients.

Crowe Horwath RCS is headquartered in Sao
Paolo and has offices in Porto Alegre and Belo Horizonte. The firm
hopes to become the sixth largest firm within three to five years
by combining with firms in other major cities, including Salvador,
Fortaleza and Recife.

Crowe Horwath HK CPA is a new firm formed
through the merger of PCP CPA and CCIF CPA. It reported fee income
of HK$140 million ($18 million) in its most recent fiscal year and
claims to be among the 10 largest firms in Hong Kong. The firm has
more than 20 directors, 360 professional staff and 60
listed-company clients. Charles Chan is the chief executive of
Crowe Horwath HK CPA and Paul Chan is the chairman.

Crowe Horwath International is the
ninth-largest global accounting network.

MEMBERSHIP ADDITIONS

Crowe Horwath builds presence in
important economies

BRAZIL

Name

Crowe Horwath RCS 

Fee income

BRL$25 million ($14 million)

Workforce

200 professionals

Market position

7th

CHINA

Name

WanLongAsia

Fee income

CNY515 million ($74 million)

Workforce

2,000 staff

Market position

7th

HONG KONG

Name

Crowe Horwath HK CPA

Fee income

HK$140 million ($18 million)

Workforce

360 professionals

Market position

Top 10

Source: International Accounting
Bulletin