A European private equity firm has struck a deal to acquire a majority stake in Dains Accountants.
IK Partners (IK) will make the investment from its IK X Fund succeeding Horizon Capital as the majority shareholder.
Dains, which was founded in Lichfield almost 100 years ago, has grown rapidly following investment from Horizon Capital in 2021 and currently has 765 employees and a customer base of over 17,000 clients.
With the support of IK, Dains will look to: continue its strong organic growth in the UK and Ireland, make further investment in its operational platform and recruitment, as well as accelerate its inorganic growth through partnering with strong, complementary firms.
Dains has said its management team will “significantly” reinvest in the company.
No financial terms of the transaction have been disclosed.
Richard McNeilly, CEO of Dains, said: “We are very excited to be partnering with IK, who we believe possesses the necessary track record and expertise required to successfully support us in this next phase of our development.
“The team’s experience in both the accounting and professional services sector, as well as in executing buy-and-build strategies in the UK and Ireland will be especially important in a fragmented marketplace like ours, where we are looking to drive consolidation and reinforce our strong position as the acquiror of choice.
“We would also like to take this opportunity to thank Luke and his team at Horizon Capital for their unwavering support over the past three years.”
Pete Wilson, Partner at IK Partners and Advisor to IK X Fund, said: “Dains is a strong business with an impressive history of delivering exceptional client services and business growth year on year.
“The breadth of services offered by their accountancy experts across the UK and Ireland has built an excellent reputation for Dains amongst fast-growing SMEs.
“With our track record in supporting similar businesses in the Business Services sector, we look forward to partnering with Richard and his team in the next phase of the Company’s journey.”
Luke Kingston, Managing Partner at Horizon Capital, added: “We are so proud to have played a part in the growth of Dains over the last three years and to have backed Richard and his team to build a leading business in its niche. This was a fantastic investment, and we are thrilled to have delivered an excellent outcome for all stakeholders involved. We wish the Company every success in the future.”
Dains was established in 1926 and still has an office in Lichfield, where it all began. Other Staffordshire offices are in Stoke-on-Trent, Uttoxeter and Burton upon Trent.
