Private equity firms said to prep £400m-plus KPMG restructuring operations unit bids

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‘Big four’ professional services firm KPMG is reportedly in the sights of private equity majors as they look to pick up its UK restructuring operations.

Intermediate Capital Group and Towerbrook Capital Partners are preparing bids for the business which could see it valued at more than £400m, Sky News said, citing unnamed sources.

It added that Permira, which holds a stake in fellow professional services firm Duff & Phelps, could also revive its interest in the unit after having a bid rejected two years ago.

The report said KPMG became the second member of the big four after Deloitte to signal plans to sell its restructuring wing last Autumn, amid growing pressure on auditors over their management of conflicts of interest.

KPMG was the auditor for construction company Carillion, and faces a fine for its work from a ongoing Financial Reporting Council investigation in the wake of the company’s disastrous fall into liquidation with liabilities of almost £7bn.

Last year KPMG sold its UK pensions advisory practice to Exponent Private Equity.

 

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