Towers Watson's HRSD practice specialises in HR transformation and service delivery, and has developed a number of cloud-based solutions.

‘We are excited to have this experienced group of industry-leading HR consultants join the KPMG team. With talent and culture change topping company board agendas, business leaders are looking for providers who understand the linkage between HR management and broader business goals,’ said Stephen N Chase, US management consulting leader of KPMG's advisory practice.

The UK practice of Towers Watson will be part of the acquisition, as well as offices in the US, China, Hong Kong, Canada, Singapore and the Philippines.

‘This acquisition significantly increases our capacity and ability to serve our global clients in all geographies," said Mark Spears, KPMG's global head of people and change.

The acquisition marks KPMG's sixth transaction in the HR space in the last four years, including EquaTerra, Optimum Solutions, Hackett Group's Oracle Enterprise Resource Planning practice, Zanett Consulting Solutions, and the workday practice of Axia Consulting.

‘Towers Watson has built a strong capability in the HR service delivery and workday deployment area,’ said Max Caldwell, managing director of TW’s data, surveys & technology line of business.’

The sale of the HRSD practice will allow Towers Watson to focus on its proprietary HR software solutions.

The transaction was signed on July 9 and is expected to close in the coming weeks. Financial terms of the agreement were not disclosed.