H.I.G. Capital announced an affiliate has signed an agreement for the proposed sale of Interpath, its portfolio company and global financial advisory firm, to funds managed by Bridgepoint Group.
The transaction remains subject to customary regulatory approvals and, where required, completion of information and consultation processes with employee representatives.
Interpath employs more than 1,000 people, including over 100 managing directors, and advises businesses and investors across restructuring, M&A transactions, value creation, and other related services. H.I.G. said the firm expanded its geographic footprint and broadened its client offering during its ownership, which began with Interpath’s carve-out from KPMG five years ago.
Bridgepoint said it plans to support Interpath’s next phase of growth by investing behind its talent base and “people proposition,” with an emphasis on recruiting additional senior professionals and continuing to build a more international and diversified advisory platform. The buyer also pointed to an opportunity for Interpath to win market share from competitors it described as more constrained and conflicted.
H.I.G. said the deal as another potential exit for its European Middle Market fund, highlighting Interpath as an example of its strategy of executing complex carve-outs and scaling professional services businesses. Financial terms were not disclosed.
KEY QUOTES:
“When we acquired Interpath five years ago from KPMG, our ambition was to build the leading UK restructuring and financial advisory firm under a world-class management team. We are proud to have supported the Company’s strong growth, geographic expansion and diversification during our ownership. We are grateful to our Chair, Tamara Box, and the late John Connolly for their important contributions, and we commend CEO Mark Raddan and the broader management team for what they have built. We look forward to Interpath’s continued success in its next chapter.”
Nishant Nayyar, Managing Director, H.I.G. Capital
“This proposed transaction would represent another successful exit for our European Middle Market fund. Interpath demonstrates H.I.G.’s ability to create significant value by executing complex carve-outs and building market-leading professional services businesses.”
Markus Noe-Nordberg, Managing Director and Head of the European Middle Market LBO Team, H.I.G.
“We are incredibly grateful to H.I.G. for their trust, support and belief in Interpath over the past five years. They backed our vision wholeheartedly – first, by helping us to establish strong foundations following our carve-out, and then by supporting us as we scaled both our international footprint and the services we provide.”
Mark Raddan, CEO, Interpath
“Interpath is a high-quality, differentiated advisory platform with a unique culture, operating in a growing market with significant opportunity for further share gains. What excites us most is the opportunity to support its exceptional base of talent and, by enhancing its distinctive people proposition, accelerate the pace at which more leading professionals in their fields join the Interpath platform. We are thrilled to partner with Interpath’s outstanding leadership team as they enter their next phase of growth — building a more international and diversified business, and continuing to win share from more constrained and conflicted competitors.”
Charles Welham, Partner and Sector Head for Business & Financial Services, Bridgepoint
