Tech investor Tenzing backs accountancy firm
An accountancy firm which employs more than 300 people across five offices has been backed by European mid-market tech investor Tenzing.
Headquartered in Stoke-on-Trent, DJH Mitten Clarke provides accounting, audit and payroll compliance services, as well as tax advisory to SMEs across the Midlands and North West.
Increased regulation continues to drive demand in the UK accounting market, which is large and growing at 5% YoY, with the SME segment estimated to be worth £9bn.
Tenzing’s investment will help the business to maximise its potential by continued investment in sales and marketing and support its ongoing acquisition strategy.
Tenzing was advised by Alantra’s Richard Holden, UK head of business services, Chris J Bates and Julia Hussain.
Holden said: “It was a pleasure working with Tenzing on this transaction. This is the second time we have advised the team on investing in the accounting services sector and they will be a valuable partner for Scott and the rest of the management team. We are excited about the momentum in the accounting services and continue to see strong interest from private equity investors.”
Mike Reynolds, investment team at Tenzing, added: “Following our historical investment in Jeffreys Henry, a tech-enabled accounting and service provider in London, we are very excited to further invest in the UK accounting services market, supporting continued innovation and evolution in this sector. DJH Mitten Clarke is highly innovative in its approach to supporting clients, and we’ve been so impressed by the quality of the management team, especially their proactive investment in talented people and differentiated systems. UK businesses have a real challenge on their hands right now due to increased regulation mandating ongoing compliance work, and DJH is well-positioned to capitalise on this opportunity due to its unique approach to client delivery.”
Scott Heath, CEO of DJH Mitten Clarke, said, “After talking to a number of potential investors, it was clear that Tenzing is the perfect fit for our business. Not only do they have a proven track record within the professional services and technology sectors, they also have a people-first approach, meaning we’re well and truly aligned. Tenzing’s philosophy is to back teams who they believe in, and support them to reach their own summit, which is exactly what we were looking for from a partner.
“The support from Tenzing will allow us to further invest in our team and accelerate the transformation of our business, making our vision become a reality. Our aim is to keep innovating and further enhance the advice and experience we deliver to our clients.”