K3 completes sale to private equity investors
K3, the Bolton-based business services firm which includes Knight Corporate Finance and Knightsbridge business brokerage service has been sold to US private equity firm Sun Capital in a £271m deal.
K3 employs over 580 staff across 23 UK offices as well as offices overseas.
The listed group has acquired professional services businesses since floating in 2017.
In 2020, K3 completed the acquisitions of Quantuma and randd uk and entered into a joint venture agreement to set up Market Mapping.
In addition to chairman Ian Mattioli, K3’s board includes well known North West business figures such as Stewart Lees, Tony Ford and Martin Robinson.
K3 completed the acquisitions of Knight Corporate Finance and Knight R&D in July 2021 and JE Consulting in March 2022.
Commenting on the Acquisition, Ian Mattioli, non-executive chairman of K3, said: “Sun is an experienced investor with a proven track record in supporting strong management teams in achieving their growth ambitions.
“K3 will be able to benefit from their operational expertise whilst having a supportive partner with the capital required to fund K3’s M&A strategy.”
He added: “Whilst being confident on the outlook for K3, we are mindful of the weakening macroeconomic environment in the UK and the pressures that this is likely to put on UK SMEs over the medium term and, therefore, it is the independent directors view that this offer represents an opportunity for shareholders to realise their entire investment, in cash, at an attractive valuation.”
Alexander Wyndham, a principal at Sun, said: “K3 has consistently won market share across its various verticals and cemented itself as a leader within the SME advisory sector.
“As a long term investor with significant buy and build experience, we are excited to partner with management to capitalise on market opportunities. We look forward to supporting management scale the business through the expansion of operations and service offerings.”
Law firm Addleshaw Goddard advised K3.
