Interpath Advisory, a British-based restructuring firm that spun out of KPMG three years ago, is set to make another move on the accountancy giant by acquiring a unit of its French operation. According to sources, the acquisition of KPMG’s restructuring division in France is currently in advanced talks and a deal could be finalized as soon as next month.
City sources have revealed that this acquisition is expected to be followed by further purchases in the coming months. However, Interpath’s other potential takeover targets are mostly believed to be outside of KPMG’s global network.
KPMG’s French restructuring arm, which employs over 100 people, is the most significant acquisition for Interpath since its establishment in 2021. The financial details of the deal were not disclosed as of Thursday.
The creation of Interpath came at a time when KPMG and other big four auditors were facing the possibility of stricter audit regulations following several corporate scandals. Deloitte also sold its UK restructuring business in response to industry reforms, with the unit now being a part of Teneo.
In other business news, the Bank of England has announced that interest rates will remain at 5.25%, Sainsbury’s has sold its banking arm to NatWest, and care home operator Four Seasons is planning a sale.
Interpath, which is backed by HIG Europe, a private equity firm, may be seeking an exit or corporate transaction in the next couple of years. The firm has previously worked on notable projects, such as providing cost-efficiency advice to Ineos Sport, owned by Sir Jim Ratcliffe, for Manchester United Football Club.
At this time, Interpath has declined to comment on the potential acquisition of KPMG’s French restructuring division.