Videre Group

Abstract

Videre chief executive David S. Talesnick, who will become president of Cohn Consulting Group, did not return calls for comment.

Videre Group

to merge with Roseland firm

Likely to be largest regional accounting firm inthe Northeast

by tim o'reiley

daily record

PARSIPPANY -- Stymied in its attempts to expand its client base, The Videre Group accounting and consulting firm decided Monday to merge into the much larger J.H. Cohn, based in Roseland.

The deal, announced Tuesday, will create the largest regional accounting firm in the Northeast with $99.5 million revenues in 2002, according to rankings in the industry trade publication Bowman's Accounting Report. The merged firm will have about 600 employees.

The Cohn name will continue along with its Roseland head office while Videre's Parsippany location will be a branch. Both sides must work out the details before the deal closes.

Created in 1999 through the merger of two Morris County accounting firms, Videre marketed itself heavily in pursuit of clients among mid-sized companies in industries, including construction, health care, commercial printing and manufacturing.

However, Videre could never overcome its awkward position of being middle-sized, too large to prosper on small accounts but not large or well-known enough for businesses seeking a prestige name to sign the annual audits.

"We weren't on the radar screen for companies that easily could have become clients," Videre marketing director Sally Glick said. "Trying to break through that barrier was frustrating."

Videre chief executive David S. Talesnick, who will become president of Cohn Consulting Group, did not return calls for comment.

Since its founding, Videre has grown both internally and through acquisition, most recently taking over the Don Aux Associates consulting practice last month. Since last summer, however, Videre has been talking with Cohn, with the discussions gradually becoming more serious, Glick said.

With 22 partners and 150 people split between Parsippany and Eatontown, Videre generated $22 million in revenues last year, while Aux brought in another $2.2 million.

Cohn, with 450 people, had revenues of $75.3 million, including another accounting firm that it acquired in January.

By taking on Videre, Cohn believes that it has built itself to the point that it can attract more business in New York City, Long Island, Westchester County and Connecticut.

Tim O'Reiley can be reached at [phone] or [email protected].