Grant Thornton to accelerate business strategy with investment from New Mountain Capital

Investment will add scale, resources and agility to solidify Grant Thornton as the industry’s platform of choice

CHICAGO and NEW YORK — Grant Thornton LLP, one of America’s leading providers of audit and assurance, tax, and advisory services, and New Mountain Capital, LLC, a leading growth-oriented investment firm with approximately $50 billion in assets under management, today announced a significant growth investment to accelerate Grant Thornton’s business strategy.

Grant Thornton has a long track record of providing clients with the highest quality, differentiated services and is operating with significant momentum, having generated record revenues for its fiscal year ending July 31, 2023. In recent years, the firm has successfully implemented a business strategy featuring meaningful investments across its core business segments, as well as enhanced client centricity, personalized services and quality. Grant Thornton is fueling its strategy by offering dynamic professional-development paths and a singular culture that attracts and retains talented team members.

“Our partnership with New Mountain Capital empowers Grant Thornton to deliver transformational, high-quality outcomes for our clients, our talented team members and the industry as a whole,” said Seth Siegel, CEO of Grant Thornton. “The investment immediately enhances our value in the marketplace and enables us to accelerate our current strategy. We’ll enjoy greater scale, resources and agility, while better positioning the firm to make targeted investments in talent, technology, infrastructure and enhanced capabilities. Grant Thornton will further solidify our position as the industry’s platform of choice.”

Andre Moura, managing director at New Mountain Capital, said, “We have been deeply impressed by the Grant Thornton team, and in our research, Grant Thornton ranked at the highest levels in the U.S. as measured by the quality of its work product and the satisfaction of its clients, even at a much lower price to clients. Grant Thornton’s unique culture drives the exceptional service the firm provides its clients, and we look forward to working with Grant Thornton to invest further in technology and automation, talent and new service line capabilities to achieve rapid growth — while maintaining an unwavering focus on quality and client experience.”

“We are thrilled to support Grant Thornton as it advances its superior, technology-enabled audit, tax and advisory services platform. Grant Thornton offers its clients a compelling value proposition and we look forward to helping the firm expand its service offerings and execute on strategic acquisitions to continuously grow its platform,” added Nikhil Devulapalli, managing director at New Mountain Capital.

Siegel cited Grant Thornton’s upcoming 100-year anniversary as a companion milestone to its partnership with New Mountain Capital: “We take great pride in our many accomplishments over the past century, and partnering with New Mountain Capital will ensure that we fully capitalize on the compelling opportunities that will define our next century. They share our standards and our vision, and together we will reshape the industry landscape, while enhancing Grant Thornton’s value proposition for our full range of stakeholders.”

The transaction is subject to regulatory approval and other standard closing conditions. Following the closing of the transaction, which is expected in the second calendar quarter of 2024, Grant Thornton will operate in an alternative practice structure: Grant Thornton LLP, a licensed CPA firm, will provide attest services — and Grant Thornton Advisors LLC will provide business advisory and non-attest services. The purpose-built structure will ensure the highest possible client service and an unwavering focus on quality.

Deutsche Bank Securities Inc. is serving as sole financial adviser to Grant Thornton. Dechert LLP and Vedder Price P.C. are serving as legal advisers to Grant Thornton. Mayer Brown LLP is acting as legal adviser to Grant Thornton’s Partnership Board. Simpson Thacher & Bartlett LLP and Hunton Andrews Kurth LLP are serving as legal advisers to New Mountain Capital.

About New Mountain Capital

New Mountain Capital is a New York-based investment firm that emphasizes business building and growth, rather than debt, as it pursues long-term capital appreciation. The firm currently manages private equity, credit and net lease investment strategies with approximately $50 billion in assets under management. New Mountain seeks out what it believes to be the highest quality growth leaders in carefully selected industry sectors and then works intensively with management to build the value of these companies. For more information on New Mountain Capital, please visit https://www.newmountaincapital.com/.

“Grant Thornton” refers to Grant Thornton LLP, the U.S. member firm of Grant Thornton International Ltd (GTIL). GTIL and the member firms are not a worldwide partnership. Services are delivered by the member firms. GTIL and its member firms are not agents of, and do not obligate, one another and are not liable for one another’s acts or omissions.