Naperville, Ill.-based IPA 100 firm Sikich (FY22 net revenue of $316.4 million) announced it has received a $250 million investment from Bain Capital.
In contrast to other private equity deals in the profession, Sikich maintains majority control of the company and its existing executive and leadership teams, led by CEO Christopher Geier.
“This investment positions Sikich to leverage Bain Capital’s deep resources while accelerating continued and aggressive growth, enhancing operational excellence, and cementing its professional services leadership position in an industry undergoing rapid consolidation,” the firm announced.
Geier, CEO since 2017, has overseen revenue growth of nearly 300% and expanded its geographic reach to all major U.S. markets and around the world with nearly 2,000 employees.
“We’ve been executing an ambitious growth and diversification strategy to capitalize on unique and favorable market conditions within an evolving professional services landscape, more than doubling in size over the last five years alone,” Geier said in a statement. “Partnering with a leading global investor like Bain Capital is a testament to our strategy and provides us with additional meaningful resources and extensive knowledge to advance our mission and deliver on our value proposition to employees and clients.”
Cristian Jitianu, a partner at Bain Capital Special Situations, noted that Sikich has “set the industry standard across their leading accounting, technology and advisory solutions.” He added, “As competition for talent and clients remains high, Sikich’s differentiated business model has enabled the company to gain share in a fragmented market.” He said the growth strategy will focus on acquisitions and strategic partnerships while Sikich retains majority control.
“Bain Capital has already proven to be a collaborative and solutions-oriented partner, confirming what we know to be a great cultural fit between our two organizations,” added Geier. “We’ve held firm to our vision for Sikich over the last several years and, with their support, I am confident in this next chapter of our journey and what we can accomplish.”
The firm pointed out that the deal differs from the traditional private equity model in that the firm is not giving up majority control as have Grant Thornton, Baker Tilly, EisnerAmper, Citrin Cooperman and Cherry Bekaert.
The investment was made from funds managed by Bain Capital Special Situations and Bain Capital Credit.
