Jessica Fino 4 Jan 2019 11:53am

UHY adds Brazilian firm to its network

UHY has acquired a new firm in Brazil, expanding its presence in South America

Bendoraytes & Cia – Auditores Independentes was previously a member firm of Crowe Horwath, but decided to leave and join UHY after structural changes at Crowe.

Following the transaction, the firm will be rebranded as UHY Bendoraytes & Cia Auditores Independentes.

Bendoraytes, which is based in Rio de Janeiro, was founded in 1960 and has a team of 87 people, including 10 partners. It provides audit, accounting, tax, corporate finance and management consulting services to clients mainly in the financial, energy and manufacturing sectors.

Franklin Bendoraytes, managing partner of Bendoraytes & Cia said, “We hope our local expertise and the UHY network’s collaboration will help us to enhance the services and advice we can offer our local and international clients.

“The global presence of the network combined with our local capabilities and knowledge of UHY’s 8,100 colleagues around the world, not only strengthens our own market position, locally and internationally, but also these of our current and potential clients and their operations.”

The partner told economia that, while Crowe was “a decent network”, which the firm was part of for more than 20 years, Bendoraytes’ plans of expansion to São Paulo were being obstructed by Crowe, which already had an office there.

“Crowe, at the time, had three independent members in Brazil, in a way, all three operated as competitors at the end of the day,” he explained.

Being now the only UHY member firm in Brazil, there are no conflicts of interest and no risk of the firm’s reputation being contaminated by other members’ eventual problems and mistakes, he added.

Meanwhile, Marcelo Lico da Costa, managing partner at Crowe in Brazil, explained that Bendoraytes had decided to leave the network following Crowe’s plans to combine its operations. However, Crowe is planning to open its own office in Rio de Janeiro soon.

UHY said the firm joined its network after it resigned as a member from Crowe and following a “rigid due diligence process”.

Rick David, UHY chairman, said the admittance of Bendoraytes to its network would contribute to strengthening its regional market expertise and capabilities.

“Over the past two decades, strong growth combined with remarkable social progress have made Brazil one of the world’s leading economies, and we are excited to see its re-emergence as a leading financial centre,” he added.

“We very much support the firm’s ambitions to expand their coverage in the wider territory and are pleased to be able to serve our international clients who have a business presence in this country.”

In October last year, UHY added the Sri Lankan firm Centra Management Associates to its network, strengthening its presence in Asia-Pacific. It also added GEWORD, a Georgian firm based in Tbilisi, in June 2018.

The network, which has a presence in 95 countries and is in the top 20 largest global accounting networks, appointed Rick David as its new global chairman in November. He was previously the COO of its US member firm UHY Advisors.