What's Happening?
HIG Europe is set to launch the sale of Interpath Advisory, a restructuring consultancy, with an expected valuation of £900 million. The sale process, managed by investment bank Moelis, will begin with details
sent to prospective buyers. Interpath has gained prominence through major restructuring mandates, including advising Sir Jim Ratcliffe on cost reductions at Manchester United. The consultancy was formed in 2021 following KPMG UK's divestment of its restructuring division, a move driven by regulatory pressures on auditing firms.
Why It's Important?
The auction of Interpath Advisory highlights the strong demand for professional services in corporate restructuring. With private equity firms like Blackstone and Bridgepoint showing interest, the sale reflects the sector's growth potential and the strategic importance of restructuring consultancies. The divestment by KPMG and subsequent success of Interpath underscore the evolving landscape of auditing and advisory services, driven by compliance and regulatory changes. This development could influence market dynamics and investment strategies in the professional services industry.
What's Next?
As the auction proceeds, potential buyers will evaluate Interpath's financial performance and strategic value. The consultancy's established credentials in restructuring work make it an attractive acquisition target. The outcome of the sale could lead to further consolidation in the advisory sector, impacting competition and service offerings. Stakeholders will be keen to see how the new ownership influences Interpath's growth trajectory and market positioning.
