KPMG pursues Andersen

KPMG Consulting Inc. signed a letter of intent to acquire the business consulting units of Andersen Worldwide's member firms. The letter of intent is an offer by KPMG Consulting of McLean, Va., to acquire as many as 23 independent consulting units of Andersen Worldwide of Chicago for up to $284 million.

In addition to the payment, KPMG Consulting plans to issue up to 6.5 million shares of stock over a three-year period to Andersen partners who join the company in connection with the transaction.

The agreement covers the acquisition of consulting practices of Andersen Worldwide member firms in Europe, the United States, Asia Pacific and Latin America. KPMG Consulting already has completed the purchase of Andersen consulting practices in Hong Kong and China.