PwC Buys BearingPoint Commercial Services, Pays $19 MM More

Another development in the BearingPoint bankruptcy saga, after the finalization of the Federal Services unit sale to Deloitte for $350 million, the bankruptcy court has authorized the sale of the
North American Commercial Services business, including its Financial Services segment and
associated Global Delivery Centers, to PricewaterhouseCoopers (PwC), the highest bidder for this service line. Under the terms of its winning bid at an auction, PwC will acquire the majority of BearingPoint’s Commercial Services unit for $44 million, subject to contractual adjustments. Subject to customary closing conditions, the sale is expected to be finalized by the end of June.

This is actually $19 million higher than the previously announced $25 million number expected on the sale on April 17, 2009, and in BearingPoint’s official press release. It’s not clear why the final price was higher, perhaps due to other bidders in the auction process, or the scope of the units was expanded. If any of our readers have more insight, we would love to hear.

This completes one of the three previously announced intentions of sale to Big Four firms, the others being Federal Services to Deloitte and BearingPoint Japan to PwC Japan. Which leaves the fate of the European and other international units still to be finalized, reports were that internal management teams would try for an MBO, but nothing official as yet on the BearingPoint site.