ghSMART (a global leadership advisory firm) and KKR (a global investment firm) announced that KKR funds will acquire a significant minority stake in ghSMART. The firm partners with CEOs, boards, and investors to develop effective leadership teams and support high-stakes decisions. ghSMART’s founder, partners, and employees will retain majority ownership, while CEO Jeff McLean and the current management team continue to lead. The financial details weren’t disclosed.
This investment coincides with ghSMART’s 30th anniversary. Founded in 1995 by Dr. Geoff Smart, the company pioneered leadership advisory services, serving numerous Fortune 500 firms, asset managers, and nonprofits. It has completed nearly 30,000 leadership assessments and 5,000 C-suite advisory engagements, with a 98% client satisfaction rate. KKR aims to support ghSMART’s growth, expand its client base, and develop digital products.
KKR invests through its Ascendant Fund, focusing on North American middle-market firms. After the deal closes, KKR will help expand ghSMART’s employee ownership plan for its 173 employees. Since 2011, over 160,000 employees at more than 65 KKR portfolio companies have received billions in equity value.
Advisors/support: Goldman Sachs and Kirkland & Ellis advised ghSMART. And Dechert advised KKR.
KEY QUOTES:
“About a year ago, ghSMART began a thoughtful search to identify the right value-added investor. Today, we are beyond proud to announce an investment from KKR. This not only aligns with our strategic vision but also reinforces our commitment to being a culture-first employee-owned firm. With KKR’s support, we are well-positioned to invest intelligently to thrive in an increasingly digital world.”
Dr. Geoff Smart
“This investment is truly a full-circle moment for the firm. Thirty years ago, KKR generously provided data to Geoff for his Ph.D. dissertation on management assessment in private equity, which facilitated the founding of ghSMART. With KKR’s backing, we aim to expand our services to assist even more organizations in unlocking value through strategic leadership hiring and high-stakes decision-making.”
ghSMART CEO Jeff McLean
“At KKR, we have long recognized that talent is the foundation upon which companies create value for their stakeholders. The company stood out to us due to its incredibly high customer satisfaction, proving that ghSMART is synonymous with leadership excellence. We look forward to helping the Company build upon its success and reputation to deliver even greater impact for clients in the years ahead.”
Chris Harrington, Partner at KKR
