Paychex Inc. agreed to acquire rival payroll processor Paycor HCM Inc. for about $4.1 billion in cash, including debt.

CINCINNATI ( Cincinnati Business Courier) - Paycor HCM Inc., one of Greater Cincinnati’s largest publicly traded companies, has agreed to be acquired by rival Paychex Inc. in a deal valued at more than $4 billion.

Paychex, Inc. announced Tuesday it has reached a deal to acquire Norwood-based Paycor for $4.1 billion. Paycor, the Greater Cincinnati-based human resources software company whose name adorns the Bengals stadium, was first reported to be in "advanced talks” to be acquired by the Rochester, New York rival on Sunday by Bloomberg.

Paychex said on Tuesday it will acquire payroll processing firm Paycor HCM for about $4.1 billion in cash, as the HR management firm looks to broaden its artificial intelligence capabilities and consolidate its market share.

Paychex, Inc. (NASDAQ:PAYX) shares are trading higher on Tuesday after the company disclosed a deal to fully acquire Paycor HCM, Inc. (NASDAQ:PYCR) in an all-cash transaction representing an enterprise value of around $4.

With the acquisition, Paychex’s total addressable market, or TAM, would increase by $10 billion to $100 billion, according to a presentation posted on its investor website. Paychex’s current client base comprises 745,000 customers across the U.S. and Europe for services including payroll, human capital management tools and insurance.