Grant Thornton Bharat Expands Horizons with PE Investment Talks
Deal News | May 04, 2025 | EIN
The global trend of private equity financing in the professional services sector is picking up momentum in India. Grant Thornton Bharat, India's fifth-largest professional services firm, is exploring partnerships with five funds to secure financing, following similar initiatives by firms like Uniqus Consultech and KNAV. Over the past two years, global networks like Grant Thornton, BDO, and Baker Tilly have tapped into PE funding or sold regional holdings to bolster international expansion, improve partner compensation, and advance technological investments. Highlights from recent transactions include the Baker Tilly and Moss Adams merger—backed by Hellman & Friedman and Valeas Capital Partners—which positions them as the sixth-largest consulting CPA firm in the U.S., and Grant Thornton Advisors USA and Ireland's PE-supported expansion across several regions. Grant Thornton Bharat aims to sell a stake in Grant Thornton Advisory Pvt Ltd to become the first India-led global professional services firm, moving away from traditional partnership models to stock-based compensation, leading to significant earnings enhancements for partners. This move marks a significant shift in India's professional services landscape, expected to attract increased PE investments. Current market dynamics emphasize the need for scale through mergers and PE funding to navigate consolidation pressures and succession challenges. Private equity involvement is reshaping the professional services industry globally, with India poised for transformation despite cultural and structural integration challenges over the years, as exemplified by past mergers and partner departures.
Sectors
- Private Equity
- Professional Services
- Mergers and Acquisitions (M&A)
Geography
- India – Grant Thornton Bharat and other Indian firms like Uniqus Consultech and KNAV are based in India, where PE investment in professional services is gaining traction.
- United States – Several mergers and acquisitions in the professional services sector mentioned, such as the Baker Tilly and Moss Adams merger, are situated in the US, indicating its market relevance.
- Global – The article addresses the global trend of private equity in the professional services sector, affecting multiple countries and firms, such as Grant Thornton's multinational expansions.
Industry
- Private Equity – Private equity firms are engaging in the professional services sector, providing funding to support expansion, enhance partner compensation, and invest in technological advancements.
- Professional Services – Target companies like Grant Thornton Bharat, Uniqus Consultech, and KNAV are part of the professional services sector, which is experiencing a transformation through private equity involvement to address scale and technology needs.
- Mergers and Acquisitions (M&A) – The article discusses various mergers and acquisitions in the professional services sector globally, influenced by private equity and the need for geographic expansion and technological upgrades.
Financials
- $7 billion – The value of the merger between Baker Tilly and Moss Adams.
- 98 million – IPO completed by Baker Tilly's UK network member, MHA.
- 20 million – Funding raised by Uniqus Consulting in April.
- 1.3 billion – Capital raised by BDO USA from Apollo.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Grant Thornton Bharat | Target Company | Company | India's fifth-largest professional services firm looking to raise funds through private equity. |
| Uniqus Consultech | Participant | Company | Professional services firm in India which has previously engaged in PE deals. |
| KNAV | Participant | Company | Another Indian professional services firm that received minority investment from Nikhil Kamath. |
| Baker Tilly | Participant | Company | Engaged in a $7 billion merger with Moss Adams and backed by Hellman & Friedman and Valeas Capital Partners. |
| Hellman & Friedman | PE Sponsor | Company | Private equity firm backing the merger between Baker Tilly and Moss Adams. |
| Valeas Capital Partners | PE Sponsor | Company | Private equity firm supporting Baker Tilly and Moss Adams merger. |
| Grant Thornton Advisors USA and Ireland | Participant | Company | Expanding their multinational platform with the support of New Mountain Capital. |
| New Mountain Capital | PE Sponsor | Company | Private equity firm backing Grant Thornton Advisors' expansion. |
| Cinven | PE Sponsor | Company | Provided private equity funding to Grant Thornton UK. |