Bridgepoint, the London-listed private equity firm, has agreed to buy a controlling stake in Interpath Advisory in a deal valuing the business at more than £800m, reported Sky News, citing people familiar with the matter.
The transaction is expected to be announced as soon as Monday morning.
Bridgepoint owns Burger King’s operations in the United Kingdom.
The report said that Bridgepoint struck an agreement with HIG Europe, which has owned Interpath since its spinout from KPMG UK in 2021.
The sale follows a competitive auction process that attracted strong interest from a number of major buyout firms, highlighting the growing appeal of professional services and financial advisory businesses to private equity investors.
Competitive auction attracts major investors
Interpath’s sale was hotly contested, with Blackstone, Onex, PAI Partners, and Permira among the bidders that expressed interest in acquiring the firm.
The auction was due to progress to a second round of bids later this month before Bridgepoint emerged as the successful buyer.
HIG Europe has been advised by Moelis on the transaction.
Sources in the report said Interpath had doubled its earnings before interest, tax, depreciation and amortisation since HIG acquired the business four-and-a-half years ago, underscoring the firm’s rapid growth under private equity ownership.
Interpath recently published financial results showing a 26% increase in revenues to nearly £200m, further strengthening its investment case.
Senior executives, including chief executive Mark Raddan, are expected to retain a stake in the business following completion of the deal.
From KPMG spinout to high-profile mandates
Interpath was carved out of KPMG UK in 2021 as part of a broader reshaping of the audit profession.
Growing regulatory scrutiny over potential conflicts of interest between audit and consulting activities intensified after high-profile corporate collapses such as BHS and Carillion, prompting several of the ‘big four’ accountancy firms to dispose of advisory units.
Since its launch, Interpath has advised on a series of prominent restructuring and cost-saving mandates.
These have included acting as administrator to the UK and Ireland subsidiaries of Claire’s, the accessories retailer that collapsed last summer.
The firm is also being lined up as administrator to the British arm of casual dining chain TGI Fridays and is advising family-owned shoe retailer Russell & Bromley on a potential sale.
Among its most high-profile roles was being hired by Sir Jim Ratcliffe’s Ineos Sports to assist with cost-cutting measures at Manchester United Football Club following Ineos’s acquisition of a stake in the Premier League club in 2024.
That work drew public attention as part of a controversial cost purge at the club.
Private equity appetite for advisory firms
The sale of Interpath to Bridgepoint is the latest example of rising private equity interest in UK professional services and financial advisory firms, which are seen as offering resilient, high-margin growth opportunities.
Commenting on the firm’s trajectory, Mr Raddan said: “Although we’re only four years old, we have a clear vision to become one of the world’s leading advisory firms and have made enormous strides towards that goal – planting the Interpath flag in major financial centres across the globe, making bold acquisitions, hiring market-leading professionals, and investing in our people and infrastructure.”
If completed, the deal will mark a significant exit for HIG Europe and another major acquisition for Bridgepoint as it continues to expand its footprint in advisory and services-led businesses.
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