ATLANTA, GA, July 22, 2015 /PRNewswire/ - Morneau Shepell, (the "Company" or "Morneau Shepell") (TSX: MSI), a leading North American provider of human resources consulting and technology, today announced that it has entered into an agreement to acquire the U.S. health and welfare benefits administration business of Ceridian. The transaction is expected to close on July 31, 2015.
More than 100 highly experienced benefits administration professionals from Ceridian, based out of St. Petersburg, FL, and Salt Lake City, UT, will join Morneau Shepell. Sixty-five Ceridian clients, ranging from small businesses with several hundred employees to businesses with very large employee bases, will see their services continued uninterrupted under the Morneau Shepell banner.
"This transaction supports Morneau Shepell's ongoing commitment to invest in and grow its business in the U.S.," said René Beaudoin, Executive Vice-President, U.S. Region, and Chief Technology Officer, Morneau Shepell. "While stand-alone health and welfare administration is no longer a strategic focus for Ceridian, it is one of Morneau Shepell's core businesses. This deal will enhance Morneau Shepell's ability to compete against large U.S. competitors and to service organizations of all sizes across North America."
Beaudoin added, "We are enthusiastic about welcoming more than 100 new talented employees to the Morneau Shepell family in the U.S., and look forward to serving our new customers. Not only will the addition of these highly-capable Ceridian team members enhance Morneau Shepell's service offering and garner attention for our brand, but it will also mean our employees are part of an increasingly competitive provider of health and benefits plan administration and retirement solutions."
Ceridian's highly experienced benefits administration professionals will continue to deliver the high quality of service that clients are accustomed to under the Morneau Shepell banner. Clients will continue to work with the same system and support staff who know them, their business and their needs. Existing administrative processes including files to/from payroll and to carriers/vendors will also remain in place.
This acquisition represents less than two per cent of Morneau Shepell's revenue and is not expected to have a material impact on the Company's financial performance in 2015.
Morneau Shepell is a North American leader in health and benefits administration consulting and services. In June of this year, Morneau Shepell was named one of the top five defined benefit pension plan providers in the U.S. by PLANSPONSOR magazine. In 2012, Morneau Shepell acquired U.S.-based SBC Systems to enhance its Benefits Administration platform (the Ariel™ system).
About Morneau Shepell Inc.
Morneau Shepell is a North American company with global reach offering an integrative approach to health, benefits, retirement and employee assistance needs. In the United States, Morneau Shepell provides expertise in plan administration, retirement solutions and billing management with a highly flexible technology platform that improves its clients' performance. With nearly 50 years of experience, the Company has almost 4,000 employees and serves approximately 20,000 clients ranging from health plans, small businesses, large corporations, associations, unions, and local and state governments. For more information, visit morneaushepell.com.
SOURCE Morneau Shepell US