JOHANNESBURG -- Pricewaterhouse-Coopers and Gobodo Inc are to merge to create South Africa's largest firm of auditors and business advisers, with the largest black economic empowerment component.

The merger will take effect on January 1 and will operate as Pricewaterhouse-Coopers Gobodo (PwC Gobodo).

Addressing a press conference yesterday, PwC CEO Colin Beggs, who will be the CEO of the proposed firm, said he believed they would exceed the government's present empowerment expectations.

Beggs said they had canvassed political figures, including Deputy President Jacob Zuma, before going ahead with the merger.

Mveleli Booi, who will be the firm's executive chairperson, said Gobodo was at present "bigger than any other emerging firm in the country".

He said the new firm would provide role models for black trainee accountants serving their articles there, but all students would be welcome.

Four out of seven members of the new firm's executive will be black.

Suresh Kana, who will be one of two deputy CEOs, said the merged firm would have some 300 partners in South Africa, out of a total of about 330 in eight Southern African countries.

Kana said 22 of the partners in the firm would be women, and more than half of the total staff would be women.

With acknowledgement to Sapa